A failure to sustain above 11,120 can trigger minor profit booking dragging the index lower to 11,000-10,840
The Nifty50 has successfully broken out from an ascending triangle pattern neckline following weeks of consolidation resuming the uptrend. Moreover, the breakout is backed by healthy volumes indicating higher levels in the coming trading sessions.
A sustained move above 11,120, which happens to be the 61.8 percent Fibonacci retracement level, will extend the rise towards 11220-11400.
However, a failure to sustain above 11,120 can trigger minor profit booking dragging the index lower to 11,000-10,840. The Relative Strength Index (RSI) has also closed above 60, confirming the strength building up in the index.
Here are three stocks that could give 5-11 percent return in the next 3-4 weeks:
Larsen & Toubro Infotech: Buy| LTP: Rs 1,849| Target: Rs 1,970-2,060| Stop loss: Rs 1,750| Upside: 7-11 percent
On the daily chart, Larsen & Toubro Infotech Ltd. has broken out from a narrow channel pattern backed by good volumes indicating a resumption of the bull trend.
Further, a sustained trade above Rs 1,855 will extend the up move taking the stock to Rs 1,970-2,060. Moreover, it has taken support at its major moving averages i.e. 50-DMA, 100-DMA and 200-DMA and has turned northwards affirming bullishness in the stock.
The RSI has formed a positive reversal indicating higher levels in the coming trading sessions. The stock can be bought in the range of Rs 1,845-1,850 for targets of Rs 1,970-2,060, keeping a stop loss at Rs 1,750.
Varun Beverages: Buy| LTP: Rs 835| Target: Rs 880-900| Stop loss: Rs 800| Upside: 5-8 percent
On the daily chart, Varun Beverages is on the verge of a breakout from an ascending triangle pattern neckline placed at Rs 850. Sustained trade above Rs 850 with healthy volumes will trigger a bullish breakout taking the stock higher to Rs 880-900.
Further, the stock continues to form higher highs and higher lows after taking support at the 200-DMA affirming strong bull dominance. Moreover, bull candles are backed by healthy volumes confirming buying in the stock.
The RSI has turned upwards after taking support at 50-level suggesting higher levels in the stock. Buy Varun Beverages in the range of Rs 833-837 for targets of Rs 880-900, and keep a stop loss below Rs 800.
VIP Industries: Buy| LTP: Rs 517| Target: Rs 550-570| Stop Loss: Rs 490| Upside: 6-10 percent
On the daily chart, VIP Industries has broken out from a channel pattern neckline placed at Rs 513 on good volumes indicating a resumption of the uptrend.
Further, the stock has resumed its upward journey after taking support at the 61.8 percent Fibonacci retracement level affirming bulls’ dominance.
Moreover, RSI has turned north from the 50-level. The stock can be bought in the range of Rs 515-520 for targets of Rs 550-570, keeping a stop loss below Rs 490.
Disclaimer:-The views and investment tips expressed by investment experts are their own. Ripples Advisory advises users to check with certified experts before taking any investment decisions.
Get detailed equity Service provider right here at BSE & NSE. We provide Indian Stock market service like Equity Service, MCX, HNI& Currency Service | Ripples Advisory Private Limited