SBI, Graphite India, IDFC: Trading Strategies for these buzzing stocks

Domestic equity markets saw another historic trading session on Friday, as the BSE Sensex scaled 71,000-mark for the first time on hopes of a few Fed rate cuts in 2024. The BSE Sensex rallied 969.55 points, or 1.37 per cent, to settle at 71,483.75. NSE's Nifty gained 273.95 points, or 1.29 per cent, to end the day at 21,456.65.

A few stocks namely State Bank of India Ltd, IDFC Ltd and Graphite India Ltd are likely to remain under the spotlight of traders for the session today. Here is what Kunal Shah, Senior technical and Derivative analyst at LKP Securities has to say on these stocks ahead of Monday's trading session:

State Bank of India | Buy | Target Price: Rs 700-715 | Stop Loss: Rs 620
State Bank of India has exhibited a robust breakout on the weekly chart, accompanied by a sharp surge in volumes. The momentum indicator RSI is comfortably trading in the buy zone, confirming the bullish momentum. The stock has a strong lower-end support at Rs 620, acting as a cushion for the bulls. With this positive setup, the potential upside target for SBI is identified in the Rs 700-715 range.

Also read: SBI shares rise 22% from 52-week low; where is the banking stock headed?

IDFC | Buy | Target Price: Rs 135-140 | Stop Loss: Rs 122
IDFC has exhibited a compelling breakout on the daily chart, accompanied by a significant surge in volumes. The positive momentum is further confirmed by the bullish crossover on the momentum indicator RSI. The stock finds support at Rs 122, creating a strong base. One can look for an upside target in the Rs 135-140 range.

Graphite India | Buy | Target Price: Rs 600-650 | Stop Loss: Rs 510
Graphite India has recently formed a rounding bottom formation on the daily chart. It successfully broken out of it, accompanied by a surge in volumes. The momentum indicator RSI has provided a positive crossover, surpassing the level of 60, affirming the strength of the current momentum. The stock has a well-defined lower-end support at Rs 510, providing a solid foundation for the bulls. With this favorable technical setup, the potential upside targets for Graphite is identified in the Rs 600-650 range.

Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.

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