5 Breakout stocks: Aavas, HFCL, Tata Chem can potentially zoom up to 20%

Chart check on May 27: LTIMindtree and Tata Technologies are the other two stocks seen trading above the higher-end of the Bollinger Bands on the daily scale on Monday.

Equity benchmark indices, the S&P BSE Sensex and the NSE Nifty 50, notched fresh all-time highs in trades on Monday in anticipation of a post-election rally on hopes of Modi government victory in the ongoing Lok Sabha 2024 elections.

On Monday, 27th May so far, the Sensex had hit a high of 75,680, while the NSE Nifty had raced to a summit of 23,043. As of 11:00 AM, the benchmark indices quoted with gains of around 0.2 per cent.

Meanwhile, the following 5 stocks have given a fresh breakout on the daily charts; primarily they are seen trading above the higher-end of the Bollinger Bands on the daily scale.

Here's a quick chart check on select 5 breakout stocks on the NSE.

Aavas Financiers

Current Price: Rs 1,645

Potential Upside: 20%

Support: Rs 1,640; Rs 1,595

Resistance: Rs 1,708

Aavas Financiers stock is seen trading above the higher-end of the anticipated trading band. The higher-end of the Bollinger Bands stands at Rs 1,640. Short-term bias for the stock is likely to remain favourable as long as the stock quotes above this price. On the upside, the stock has near resistance at Rs 1,708 in the form of 100-WMA (Weekly Moving Average).

Breakout and sustained trade above the 100-WMA, can open the doors for a rally up to Rs 1,975 - suggesting a potential upside of 20 per cent from present levels. On the flip side, failure to sustain above Rs 1,640, can trigger a corrective move towards the 20-DMA (Daily Moving Average) support at Rs 1,595. CLICK HERE FOR THE CHART

HFCL

Current Price: Rs 106.10

Potential Upside: 11.3%

Support: Rs 105.80; Rs 101

Resistance: Rs 109; Rs 111

HFCL stock is not only seen trading above the higher-end of the Bollinger Bands on the daily scale, but has also given a breakout above its super trend line. As such, the immediate  support for the stock now exists at Rs 105.80, whereas far-off support is seen at Rs 101.

On the upside, near resistance for the stock is seen in the range of Rs 109 - Rs 111, above which the stock can potentially spurt to Rs 118 levels. CLICK HERE FOR THE CHART

LTIMindtree

Current Price: Rs 4,869

Potential Upside: 9%

Support: Rs 105.80; Rs 101

Resistance: Rs 109; Rs 111

The higher-end of the daily Bollinger Bands of LTIMindtree stands at Rs 4,865. The stock at present is not only seen attempting to hold above the same, but also confirm a breakout above its 50-DMA, which stands at Rs 4,851.

The combination of these two factors, shall augur well for the stock in the near-term. As such, the stock can potentially rally towards the 100-DMA on the upside, indicating a target of Rs 5,235 or spurt even higher towards the 200-DMA at Rs 5,310. In the interim resistance for the stock can be expected around Rs 5,070 levels. On the other hand, in case of a dip, the stock can seek support around Rs 4,775. CLICK HERE FOR THE CHART

Tata Chemicals

Current Price: Rs 1,113

Potential Upside: 11%

Support: Rs 1,080

Resistance: Rs 1,151

With Tata Chemicals stock seen attempting to sustain above the higher-end of the Bollinger Bands (Rs 1,110), the stock can potential extend the up move towards the super trend line resistance at Rs 1,151 in the near -term. The weekly chart suggests a potential upside to Rs 1,235 levels.

On the downside, the 20-DMA at Rs 1,080 is expected to act as near-term support for the Tata Chemicals stock. CLICK HERE FOR THE CHART

Tata Technologies

Current Price: Rs 1,101

Potential Upside: 5.7%

Support: Rs 1,089

A close above Rs 1,101, will not only ensure a breakout on the Bollinger Bands for Tata Technologies stock, but also above its 100-DMA, which stands at Rs 1,096, for the first-time ever. CLICK HERE FOR THE CHART

Key momentum oscillators are in favour of the bulls at the counter, hence the stock may attempt to breakout. On the upside, the stock can potentially rally to Rs 1,174. Near-term bias is likely to remain positive as long as the stock sustains above Rs 1,089.