YES Bank, BEML, Vedanta, Graphite India and Timken India are a few stocks that have recently seen breakout and are looking good on technical charts. A couple of technical experts have offed their views on resistance and support levels, buying range, stop losses and price targets for the five stocks.
YES Bank | Target Rs 21
On the longer time frame, the YES Bank counter has seen a breakout of the inverse Head & Shoulders formation pattern, with a long consolidation. It retested its previous breakout level and saw a V-shaped recovery. It is trading above its all-important moving averages. On the higher side, the levels of Rs 18–19 are the immediate resistance zone. Above this, one can expect the stock to hit the Rs 21 level in the near term. On the lower side, Rs 16 is the strong support during any correction.
Pravesh Gour, Senior Technical Analyst, Swastika Investmart
BEML India | Target Rs 1,630-1,650
BEML has seen a massive spurt in price on the back of robust volumes and has soared from its sacrosanct support zone, indicating a strong technical build-up in the counter. On the oscillator front, the 14-period RSI has witnessed a positive crossover from the oversold territory, adding to a bullish quotient in the counter. As far as levels are concerned, the stock has firmly headed towards its immediate swing high of Rs 1,630-1,650 odd-zone and is likely to reclaim the same in a comparable period. Also, on the flip side, the support base has shifted towards Rs 1,500 levels and looking at the recent vertical rally, any cool-off in the counter should augur well for the market participants to re-enter the rally.
Osho Krishan, Sr. Analyst – Technical & Derivative Research, Angel One
Timken India | Target Rs 4,070 (3 months)
The capital goods sector has been key outperformer in 2022 and bearing companies stood out with their relative outperformance within this space. Timken India remains in a strong uptrend and remains ICICIdirect’s top pick.The stock has recently concluded faster retracement of September-October decline in single week, indicating continuation of a structural uptrend with sharp increase in volumes, further corroborating the bullish view. Since its major low in 2020 each decline attracted elevated buying demand near 100-day EMA and same rhythm is continued in October as well signalling positive structure. ICICI expects share price to head towards Rs 4,070 in coming few months as it is the implication of a range breakout (Rs 3,400-2,730=670) points projected from breakout level. Weekly MACD has generated fresh crossover above its 9 period average indicating continuation of positive momentum in the medium term. ICICIdirect suggests traders to buy the stock in Rs 3,520-3,575 range with a stop loss placed at Rs 3,280.
ICICIdirect
Vedanta | Target Rs 380
Technically, Vedanta is in an ascending triangle pattern with an up-sloping channel formation where the 50-DMA is acting as immediate and strong support, but the 50 per cent retracement of the previous fall at Rs 325 is acting as a critical hurdle. It needs to cross the Rs 325 level to gain any meaningful strength. If it manages to take out the Rs 325 mark, then it is likely to head towards the Rs 380 level. On the downside, the 50-DMA that stood at Rs 290 is an immediate and critical support level.
Pravesh Gour, Senior Technical Analyst, Swastika Investmart
Graphite India | Target Rs 444 | Period (14 days)
Metal stocks have been in limelight in past few sessions amid prospects of China relaxing its Covid-zero stance and softness in dollar against major currencies. Within pack, ICICIdirect expect graphite players to catchup with large metal companies in terms of price performance and make smart recovery from oversold readings. Graphite India’s share price has held its June lows on multiple occasions and resolved out of short term rounding bottom formation. In last week, the stock resolved above its hurdle of Rs 390 and witnessed follow through buying in Monday’s session alongwith volumes expanding in both sessions. ICICIdirect expects its share price to head towards Rs 450 in the short term, which was its August swing high.
ICICIdirect