Ultratech Cement, Indian Oil, Tech Mahindra: Trading Strategies for these buzzing stocks

Domestic stock indices ended higher on Monday, led by strong buying in banking shares. An ease in geopolitical concerns and a drop in US 10-year bond yield supported the sentiment as the BSE Sensex rallied 941.12 points, or 1.28 per cent, to settle at 74,671.28. The NSE Nifty50 index surged 223.45 points, or 1.00 per cent, to end the session at 22,643.40.

A few stocks namely Ultratech Cement Ltd, Indian Oil Corporation Ltd (IOCL) and Tech Mahindra Ltd are likely to remain on traders’ radar today. Here is what Shiju Koothupalakkal, Technical Research Analyst at Prabhudas Lilladher has to say on these stocks ahead of Tuesday's trading session:

Ultratech Cement | Buy | Target Price: Rs 10,220-10,510 | Stop Loss: Rs 9,716
Ultratech Cement has recovered significantly as it took support from Rs 9,250 level to move past its 50-EMA level of Rs 9,716, improving the bias. The stock is close to a falling channel breakout level of Rs 9,920 level, which may further strengthen the trend. The RSI is well-placed, indicating strength. The near-term targets for coming days stand at Rs 10,220 and Rs 10,510 levels.

Indian Oil Corporation | Buy | Target Price: Rs 197-210 | Stop Loss: Rs 166
Indian Oil formed a bullish candle on the daily chart. It has come out of a range bound at Rs 175 level, improving the bias. The stock is expected to rise further. The RSI has indicated a spurt after the short consolidation period, which has strengthened the trend. One can expect higher targets of Rs 197 and Rs 210 in coming days as long as the support of 50-EMA is maintained, which at present is at Rs 166.

Tech Mahindra | Buy | Target Price: Rs 1,380-1,460 | Stop Loss: Rs 1,240
Tech Mahindra saw a huge spurt post its Q4 results, taking support near Rs 1,170 level. The tsock has moved past its significant 50-EMA level of Rs 1,255 zone. A further rise is likely in coming days. The stock needs to breach above the resistance zone of Rs 1,345 level to establish a conviction. The RSI is well placed and the stock has steam left to carry on with the positive move. From the current level, one can assume the 200-day MA of Rs 1,240 as the support zone and expect higher targets of Rs 1,380 and Rs 1,460 levels once the Rs 1,345 zone is breached.

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