HMPV scare: Vijaya, Dr Lal Path, healthcare stocks in focus; Time to buy?

Apollo Hospitals, Vijaya Diagnostic and Narayana Hrudayalaya have given a fresh breakout on the daily scale. Charts show that these 5 healthcare related shares can rally up to 11 per cent.

Shares of hospitals and healthcare-related services were in demand for the second straight day on Tuesday following detection of HMPV cases in India. The first two cases were detected in Bangalore yesterday.  Human Metapneumovirus (HMPV), which causes respiratory illness and was recently identified in China and Malaysia. A total of 5 cases were detected in Karnataka, two in Tamil Nadu, and one in Gujarat, as of January 06. All 5 cases were detected in children.  The government has advised states to increase surveillance of influenza-like illness (ILI) or severe acute respiratory infections (SARI), following reports of a surge in HMPV cases in China. Union Health Minister JP Nadda reassured the public on Monday that there was no cause for alarm. He ascertained that the virus, first identified in 2001, posed no new threat to the public, adding that the government was closely monitoring the situation. READ MORE  Meanwhile, on the bourses shares of healthcare services, particularly diagnostics related rallied up to 7 per cent in trades on Tuesday. Indraprastha Medical Corporation was the top mover, up 7 per cent followed by Vijaya Diagnostic and Dr Lal Path Labs.  Against this background, here's a technical outlook on key healthcare related stocks.  Apollo Hospitals  Current Price: Rs 7,517  Upside Potential: 4.9%  Support: Rs 7,455  Resistance: Rs 7,630; Rs 7,770  Apollo Hospitals stock is seen attempting a breakout on the daily scale. The near-term bias for the stock is likely to remain upbeat as long as the stock holds above Rs 7,455. On the upside, the stock can potentially march to Rs 7,885 levels; with interim resistance expected around Rs 7,630 and Rs 7,770. CLICK HERE FOR THE CHART  Dr Lal Path Labs  Current Price: Rs 3,116  Upside Potential: 10.6%  Support: Rs 3,000; Rs 2,912  Resistance: Rs 3,163; Rs 3,192  Dr Lal Path Labs is seen trading close to its crucial hurdle of Rs 3,163 and Rs 3,192 levels on the daily scale. The medium-term chart shows, that the stock needs to trade consistently above Rs 3,170 for a likely rally towards Rs 3,445. On the downside, the short-term moving averages around the Rs 3,000-mark followed by the 200-day DMA (Daily Moving Average) at Rs 2,912 are likely to act as strong supports. CLICK HERE FOR THE CHART    Vijaya Diagnostic Centre  Current Price: Rs 1,185  Upside Potential: 8.2%  Support: Rs 1,149; Rs 1,075  Resistance: Rs 1,196; Rs 1,240; Rs 1,282  Vijaya Diagnostic has given a fresh breakout on the daily chart. The near-term bias for the stock is likely to remain bullish as long as the stock trades above Rs 1,149; below which support for the stock is seen at Rs 1,075. On the upside, the stock can potentially surge to Rs 1,282 with intermediate resistance expected around Rs 1,196 and 1,240 levels. CLICK HERE FOR THE CHART  Rainbow Children's Medicare  Current Price: Rs 1,620  Upside Potential: 6.8%  Support: Rs 1,570; Rs 1,485  Resistance: Rs 1,643; Rs 1,687  Rainbow Children's Medicare stock has rallied nearly 10 per cent after testing support around its super trend line on the daily scale recently. The stock at present is seen trading above its short-term moving averages - the 20- and 50-DMA, which stand around Rs 1,570 levels and are likely to act as immediate support for the stock. Below which, the super trend line at Rs 1,485 can provide adequate support.  On the upside, the stock seems headed towards Rs 1,730 with interim resistance likely around Rs 1,643 and Rs 1,687 levels. CLICK HERE FOR THE CHART  Narayana Hrudayalaya  Current Price: Rs 1,358  Upside Potential: 10.1%  Support: Rs 1,335; Rs 1,312  Resistance: Rs 1,410; Rs 1,452  Narayana Hrudayalaya stock has given a fresh breakout on the daily chart. The short-term bias for the stock is likely to remain bullish as long as the stock holds above Rs 1,335; below which support for the stock exists at Rs 1,312. On the upside, the stock can potentially soar to Rs 1,495 with intermediate resistance expected around Rs 1,410 and Rs 1,452 levels. CLICK HERE FOR THE CHART