Berger Paints has resumed the uptrend and is currently trading at its record high. Indications are in the favor of prevailing momentum to extend upside further
Ajit Mishra | Mumbai
Last Updated at October 7, 2020 08:00 IST
Berger Paints (I) Limited
Last Close: Rs 605.25
Initiation range: Rs 598-603
Target: Rs 625
Stop loss: Rs 585
Berger Paints has been maintaining a long term uptrend since 2010. After a slide from its record high in February 2020, it consolidated for nearly four months but the bias remained on the positive side. It has again resumed the uptrend and currently trading at its record high. Indications are in the favor of prevailing momentum to extend further thus we suggest accumulating in the mentioned range.
HDFC Life Insurance Company Limited
Last Close: Rs 582.05
Initiation range: Rs 580-584
Target: Rs 610
Stop loss: Rs 570
HDFC Life has a history of volatile swings but the volatility has subsided to some extent in recent months. It has been seeing gradual correction for the last three months after retesting the record high and tested the major support zone of the long term moving average(200 EMA) on the daily chart of late. The chart pattern combined with the positioning of indicators is pointing towards a steady rise from hereon. Traders shouldn’t miss this opportunity and go long in the given range.
Hindustan Zinc Limited
Last Close: Rs 221.40
Initiation range: Rs 218-220
Target: Rs 240
Stop loss: Rs 208
In line with other metal counters, Hind Zinc has rebounded sharply of late, after testing the support zone of major moving averages on the daily chart. Considering the overall buoyancy in the sector, we expect the prevailing up move to continue. We suggest using any intraday dip to create fresh longs in the given range.
Manappuram Finance Limited
Last Close: Rs 168.35
Initiation range: Rs 163-166
Target: Rs 185
Stop loss: Rs 155
Manappuram has witnessed a breakout from a consolidation range and currently trading around the neckline area of the pattern, offering the opportunity to those who missed the chance earlier. The chart pattern and existence of multiple supportsaround 155 zone are adding to the possibility of a strong surge ahead.
Disclaimer: Ajit Mishra is VP – Research at Religare Broking
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First Published: Wed, October 07 2020. 07:50 IST