Weekly Trading Guide: What Technical Charts Hint For Axis Bank, M&M & Indian Hotels?

Equity benchmark indices fell in early trade on Wednesday on rising crude and mixed market cues. Early trading saw the BSE Sensex drop 45.66 points to 65,734.60 while the Nifty dropped 12.75 points to 19,562.15 level. Investors should exercise caution on domestic equity considering the dollar index's surprise strength at 104.86, which is close to a six-month high, the US's resilient bond yields due to strong expectations for high-interest rates, and Brent crude at $90. Amid weak market sentiment, here are the 3 technical stocks recommended with buy rating by the Technical & Derivatives Team, Broking & Distribution, Motilal Oswal Financial Services Ltd.

Axis Bank

BUY AXIS BANK @ CMP of Rs 991, Stop-loss: Rs 955, Target: Rs 1060

Axis Bank has been respecting to rising support trend line and gave a consolidation breakout on weekly scale. It formed a strong bullish candle on daily scale and gave highest daily close. It is trading well above all it short term moving average and been a strong outperformer within banking space. Thus recommending to buy the stock with keeping stop loss below 955 levels for a new life high target towards 1060 zones.

Indian Hotel

BUY INDIAN HOTEL @ CMP of Rs 424, Stop-loss: Rs 405, Target: Rs 460

Indian Hotel is trading at all time highs and gave a channel breakout above 405 zones after thirteen weeks. It formed a strong Bullish candle on weekly scale and retested the previous resistance zone on daily scale. It is holding well above its short term moving average and stock is likely to scale new life highs. Good buying is visible across hotel space and thus recommending to buy the stock with keeping stop loss below 405 for an upside move towards 460 levels.

M&M

BUY MAH & MAH @ CMP of Rs 1591, Stop-loss: Rs 1550, Target: Rs 1700

Mah & Mah is in overall uptrend and formed a strong bullish candle on monthly scale. On daily scale the stock gave a trend line breakout and forming higher lows for past five sessions. RSI is giving positive crossover on weekly scale which suggests momentum to pick up in coming sessions. Thus recommending to buy the stock with keeping stop loss below 1550 for an upside move towards 1700 levels.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.