Benchmark indices settled higher on Friday. The BSE Sensex soared 900 points, or 1.53 per cent, to closed at 59,808.97. The NSE Nifty jumped 272.45 points, or 1.57 per cent, to 17,594.35. Select stocks such as Punjab National Bank (PNB), Cipla and Ambuja Cements were on traders’ radar in Friday’s trade. Here is what Mileen Vasudeo, Senior Technical Analyst at Arihant Capital Markets has to say on these stocks, ahead of Monday’s trading session:
PNB | Buy | Target Price: Rs 59-62 | Stop Loss: Rs 47
PNB has reclaimed its 20-day SMA and is showing signs of strength. The momentum indicator viz MACD is showing a positive divergence. We are of the opinion that there is an upside potential on this counter. At present Rs 53 is the initial resistance; any strong move above the mentioned level would propel the upside momentum. Hence, one can buy the stock at Rs 51 with a stop loss of Rs 47. We expect the stock to hit Rs 59-62 levels in a couple of weeks.
Cipla | Sell | Target Price: Rs 830-800 | Stop Loss: Rs 820
Cipla shares are trading well below their 200-day SMA. On the daily chart, the scrip is maintaining a lower top- bottom formation. The stock has poor relative strength, which suggests weakness. One can hold a short position on the counter, with a stop loss of Rs 920. Once can expect the stock to touch Rs 830-800 level in the next couple of weeks.
Ambuja Cements | Buy | Target Price: Rs 440-470 | Stop Loss: Rs 350
Ambuja Cements made a high of Rs 598 on December 9, 2022. From there, it saw a sharp decline towards the Rs 315 level on February 2. Since then, the scrip has reclaimed its 20-day SMA. The RSI is also gaining momentum, suggesting that the upside momentum is likely to continue. Hence, one can buy the stock at current levels Rs 389, with a stop loss placed at Rs 350 for a target of Rs 440-470 levels.
(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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