Hot Capital Goods Stocks To Buy: ABB, Cummins, Siemens Are Top Picks; Check Outlook & Target Prices

Prabhudas Lilladher has recommended BUY on three capital goods stocks on BSE and NSE. These are:

1. ABB India:

The stock has recently indicated a clear breakout above the descending channel pattern on the daily chart at 5600 zone and thereafter, has shown strength with a decent steady rise maintaining above the important 50EMA at 5830 level to further strengthen the trend. With currently, improving the bias the stock has witnessed a new round of upward with the RSI indicating a positive trend reversal to signal a buy with much upside potential visible and can carry on with the positive move further ahead. With the chart technically well placed, we suggest buying and accumulate the stock for an upside potential target of 7200 keeping the stop loss of 5800 level.

2. Cummins India:

The stock has witnessed a decent pullback after the consolidation period and has indicated a strong breakout above the descending channel pattern and the important 200 period MA at 3250 zone to strengthen the bias and further rise is anticipated with the trend getting better and better. The trend has turned strong with the RSI once again showing a positive trend reversal to regain strength to carry on with the positive move further ahead. With the chart technically looking attractive, we suggest buying and accumulate the stock for an upside potential target of 4000 keeping the stop loss of 3100 level.

3. Siemens:

The stock has recovered strongly after the significant erosion taking support near 2370 zone and currently has once again started a new round of momentum indicating a higher bottom formation on the daily chart taking support near the 50EMA zone at 3130 level and has improved the bias to anticipate for further rise in the coming days with strength indicated. The RSI has cooled off significantly from the highly overbought
zone and currently is well positioned, indicating a positive trend reversal to signal a buy and with much upside potential visible, is expected to carry on with the positive move further ahead. With the chart technically looking good, we suggest buying and accumulate the stock for an upside potential target of 4300 keeping the stop loss of 2900 level.

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.