Domestic stock indices settled higher on Monday, ahead of the kickstart of Q4 earnings season later this week. Positive macroeconomic data supported the sentiment. The BSE Sense advanced 494.28 points, or 0.67 per cent to settle at 74,742.50. The NSE Nifty50 added 152.60 points, or 0.68 per cent, to end the session at 22,666.30.
A few stocks namely NBCC (India), Escorts Kubota Ltd and REC Ltd are likely to remain under the spotlight today. Here is what various analysts from different brokerage firms have to say on these stocks ahead of Tuesday's trading session:NBCC (India) | Buy | Target Price: Rs 159 | Stop Loss: Rs 124 NBCC India has gained strength after a consolidation. The stock has seen decent pullback to move past is significant 50-EMA level of Rs 119, which has improved the bias. One can expect further rise on the counter in the coming days. The RSI is on the rise and has already indicated a trend reversal with upside potential. We suggest buying the stock for an upside target of Rs 159, keeping the stop loss of Rs 124.
Recommended By: Vaishali Parekh, Vice President - Technical Research at Prabhudas LilladherEscorts Kubota | Buy | Target Price: Rs 3,649- Rs 4,300 | Stop Loss: Rs 2,600 Escorts Kubota has given a breakout from the continuation pattern flag and pole formation, and that a falling trendline breakout was witnessed on the RSI. The DMI has crossed ADX, which is a positive sign and a reading of 24 indicates the beginning of a new trend. The stock successfully held its short-term moving average. One can 'buy' the stock till declines upto Rs 2,940 with a closing stop loss of Rs 2,600 for a target of Rs 3,649-Rs 4,300. This is for a time horizon of 6–9 months. Recommended By: Aditya Gaggar, Director of Progressive SharesREC | Hold | Support: Rs 435 | Resistance: Rs 485 REC is making a lower top formation on the daily chart with a descending channel pattern visible on the medium term time frame. The 100 period MA stays near Rs 435 level as the next support zone. A decisive break below Rs 435 level could mean the stock can slide further till Rs 400 level of the lower band of the channel, with the bias turning weak. The view will be negated once a decisive breach above Rs 485 level is confirmed and, in that case, the bias would turn positive.
Recommended By: Vaishali Parekh, Vice President - Technical Research at Prabhudas Lilladher
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