BHEL, Hindustan Aeronautics, Midhani: How should you trade these buzzing stocks?

Domestic stock indices ended higher on Wednesday despite a lack of directional cues. Buying in select heavyweight stocks pushed the indices higher. The BSE Sensex gained 213.27 points, or 0.33 per cent, to 65,433.30. The NSE Nifty added 47.55 points, or 0.25 per cent, to 19,444

Select stocks such as Hindustan Aeronautics (HAL), Bharat Heavy Electricals (BHEL) and Mishra Dhatu Nigam (Midhani) are likely to remain in the news following the successful Chandrayaan 3 moon landing. Here is what Laxmikant Shukla, Technical Research Analyst at YES Securities has to say on these stocks ahead of Thursday's trading session:

Bharat Heavy Electricals | Buy | Target Price: Rs 130 | Stop Loss: Rs 109
After the strong spike in price seen in August, BHEL has started consolidating and is showing signs of accumulation. A move beyond Rs 115 is likely to trigger further bullish momentum towards a swing high of Rs 130. On the weekly chart, the stock has given a congestion breakout. On the daily timeframe, the stock is trading above all its key moving averages. The stock may behave in a similar manner and move towards a fresh supply zone. It is recommended to set a stop-loss at Rs 109 based on closing prices to effectively manage potential downside risks.

Hindustan Aeronautics | Buy | Target Price: Rs 4,500 | Stop Loss: Rs 3,780
Hindustan Aeronautics is trading at a 52-week high and is in a strong momentum. A recent breakout from a rectangle pattern, along with the formation of Bullish Belt Hold candlestick pattern on the daily chart, confirm the trend's continuation. The opening of Bollinger bands on the daily timeframe suggests rising volatility in support of an upward move. The RSI on the daily timeframe has also demonstrated a breakout, reflecting sustained momentum in the stock's prices. Going ahead, he stock may move higher till the level of Rs 4,500. A stop-loss must be placed at Rs 3,780 on a closing basis.

Mishra Dhatu Nigam | Buy | Target Price: Rs 375 | Stop Loss: Rs 375
Midhani is currently demonstrating strong momentum, as it is approaching record high level. In addition, a congestion breakout on the weekly timeframe recently suggests a continuation of the upward trend. Furthermore, the RSI has shown a breakout, indicating increasing momentum in the stock price. Given these compelling factors, it can be inferred that stock is displaying robust performance. Looking ahead, the stock may climb towards Rs 465 level.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Business Today.)

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