Axis Securities in its weekly report suggested three stocks Balrampur Chini, Mahindra CIE and Linde India in the cash segment that can deliver healthy returns in 3-4 weeks. Axis Securities said these stocks have breached their multiple resistance levels and could see 9-23 per cent upside potential over their Friday’s closing prices.
Axis Securities said Balrampur Chini has decisively broken above the falling channel pattern as well as multiple resistance zone on the weekly chart. The stock is forming a higher high-low on the daily chart. This formation indicates a
positive uptrend. The breakout is accompanied with an increase in volume, confirming participation at the breakout level.
Linde India Buy Range: Rs 3,400-3,332 | Stop loss: 3,220 | Target Rs 3,785
Linde India has decisively broken its ‘Symmetrical Triangle’ pattern on the weekly time frame. The break out for the same was placed at Rs 3,370 level. The daily Bollinger band generated a buy signal as the stock closed above the upper Bollinger Band. The stock is well placed above 20-, 50-, 100- and 200-day moving averages, indicating positive momentum.
The daily and weekly strength indicator RSI is in bullish mode and the weekly RSI has crossed above its reference line, which had generated a buy signal. The above analysis indicates an upside towards Rs 3,660-3,785 levels. The holding period is 3-4 weeks.
On the weekly time frame, the Mahindra CIE Automotive stock has decisively broken above the multiple resistance zone placed in the Rs 324-313 range. The breakout is accompanied with an increase in volume, confirming participation at the breakout level. The stock is well placed above its 20-, 50-, 100- and 200- day moving averages, indicating positive momentum. The daily strength indicator RSI is in bullish mode and the weekly RSI has crossed above its reference line, which had generated a buy signal. The above analysis indicates an upside towards Rs 375-390 levels. The holding period is 3-4 weeks.
