 "India Cements, Hindustan Copper can rally up to 17%; here's why")
Nifty View
After four weeks of consecutive rise, Nifty continued its upward journey and added more than 100 points in the current upswing. The Nifty managed to surpass the previous top resistance of 19,875 on closing basis.
For last many trading sessions, Nifty has been finding support near 5 days EMA,
placed at 19,816. Nifty is trading above 5-, 10-, 20-, 50-, 100- and 200-DEMA, which indicates bullish trend on all time frames.
The Nifty Midcap 100 Index has registered fresh all time high. We expect markets to continue its upward journey and we expect Nifty to register fresh all-time high above
20,222 soon. On the down side, 19,600 is expected to act as a strong support for the Nifty.
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BUY
India Cement
Last close: Rs 229.70
Target: Rs 269
Stop-loss: Rs 216
The stock price has broken out from downward sloping channel on the weekly chart. The stock found support on its 100-week EMA and reversed north. The stock is holding above its 20-, 50-, 100- and 200-DEMA, which indicates bullish trend on all time frame.
Indicators and Oscillators like DMI and RSI have turned bullish on the daily charts. Cement Sector has started outperforming.
BUY
Hindustan Copper
Last close: Rs 168.70
Target: Rs 190
Stop-loss: Rs 156.50
The stock has broken out from bullish inverted head and shoulder pattern on the daily chart. PSU and metal & mining stocks have been performing exceptionally well in recent time.
The stock is placed above all important moving averages, indicating bullish trend on all time frames. Indicators and oscillators have turned bullish on weekly time frame.
(Vinay Rajani, CMT, Senior Technical & Derivative Analyst, HDFC Securities. Views expressed are personal).