RVNL, Ircon International, IRFC: Trading strategies for these buzzing railways stocks

RVNL, Ircon International, IRFC: Trading strategies for these buzzing railways stocks

RVNL witnessed a breakout of upward-sloping channel formation at the Rs 147 level with strong volumes. I retested its last breakout level of Rs 147.

Ircon International recently experienced a breakout from a flag formation on its daily chart, accompanied by significant trading volumes.
Pawan Kumar Nahar
  • Sep 13, 2023,
  • Updated Sep 13, 2023, 5:25 PM IST
  • For RVNL, Rs 180 is the immediate hurdle, breaching which Rs 200 level is likely.
  • Initiate IRFC positions at Rs 66–67 levels for a target of over Rs 80, says analyst.
  • Risk-tolerant traders may initiate Ircon positions in the range of Rs 134–136.

Domestic stock indices settled on a mixed note on Tuesday amid muted global cues. The BSE barometer Sensex gained 94.05 points, or 0.14 per cent, to settle at 67,221.13. The NSE benchmark Nifty shed 3.15 points, or 0.02 per cent, to end at 19,993.20. Select railways stocks namely Indian Railway Finance Corporation (IRFC), Ircon International and Rail Vikas Nigam (RVNL) are likely to be in focus today. Here is what Pravesh Gour, Senior Technical Analyst at Swastika Investmart has to say on these stocks ahead of Wednesday's trading session:Indian Railway Finance Corporation | Buy | Target Price: Rs 80 | Stop Loss: Rs 60 The counter of IRFC witnessed a breakout of the bullish flag pattern formation with strong volume on the daily chart. Post the breakout, the stock saw 24 per cent jump as it moved to its all-time high level of Rs 92. At the current level, the structure of the counter has become very expensive for taking new positions. Risky traders  can take positions at Rs 66–67 levels for a target of over Rs 80 with a stop-loss of Rs 60.Rail Vikas Nigam | Buy | Target Price: Rs 180-200 | Stop Loss: Rs 147 The counter of RVNL witnessed a breakout of upward-sloping channel formation at the Rs 147 level with strong volumes. It retested the breakout level before moving towards the Rs 199 level. But from the higher levels, it faced profit booking. Traders have to apply a ‘buy-on-dip’ strategy, as the stock is still trading above all its important moving averages. On the downside, Rs 147 is a strong demand zone during any correction. On the upside, Rs 180 is the immediate hurdle; above this, one can expect a move towards the Rs 200 level.Ircon International | Buy | Target Price: Rs 160 | Stop Loss: Rs 120 Ircon International recently experienced a breakout from a flag formation on its daily chart, accompanied by significant trading volume. However, it encountered profit-taking activities around the Rs. 174 price level. As it stands, the stock's current valuation appears to be on the expensive side. Risk-tolerant traders may consider initiating positions in the range of Rs 134–136, with a target price of Rs 160. It's advisable to set a stop-loss at Rs 120 to manage risk on this trade.Disclaimer: Under no circumstances should any person at this platform make trading decisions based solely on the information discussed herein. You should consult a qualified broker or other financial advisor prior to making any actual investment or trading decisions. All information is for educational and informational use only. Business Today does not guarantee, vouch for, endorse any of its contents and hereby disclaims all warranties, express or implied, relating to the same.

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