Stock Picks Podcast on April 10, 2018: 3 stocks could give up to 11% return
Moneycontrol News
KEI Industries Ltd: BUY| Target Rs. 480 | Stop-loss Rs 402 | Return 11%
The stock has closed at its 52-week and all time high with healthy volumes. The stock has been trading above all its important moving average parameters, indicating a bullish trend on all time frames.
The stock has recently surpassed the crucial resistance of the double top placed at 423 on the weekly charts. Higher tops and higher bottoms are intact on long-term charts Oscillators like MACD, RSI and DMI have been showing strength in the existing bullish strength. We recommend buying KEI for the upside target of 480, keeping SL at 402.
KNR Construction: BUY| Target Rs. 340 | Stop-loss Rs 284| Return 11%
Infra and construction stocks have been gaining traction for the last couple of months. KNR is one of the stock which remained resilient in the recent correction started since Jan 2018.
The stock price has broken out from a narrow range of 208-300, which held for last 5 weeks. On Monday, the stock rose more than 5 percent with a jump in volumes.
The move has helped the counter to surpass the hurdle of its 20 and 50 DMA resistance. The stocks hovering near to their 52-week and all-time highs have been outperforming recently.
Oscillator setup on the short term charts is perfectly favored the fresh entry in the counter. We recommend buying KNR Construction for the upside target of 340, keeping a stop loss below Rs284.
Allahabad Bank Ltd: BUY| Target Rs. 60| Stop-loss Rs 51 | Return 10%
The Nifty PSUBank Index has confirmed bullish inverse head and shoulder pattern on the daily charts, which could result in to sharp rise in the PSU Banking stocks from the current levels.
The stock has recently surpassed the multiple top resistances placed at 53.50. The stock price has broken out from last 8 week’s consolidation range.
The Volumes have also gone up along with the price rise in recent days. The stock price has reached above its 20 and 50DMA resistances. We recommend buying Allahabad Bank for the upside target of 60, keeping a stop loss below 51.
Disclaimer: The author Vinay Rajani is Technical Analyst, PCG Desk, HDFC Securities. The views and investment tips expressed by investment expert on moneycontrol.com are his own and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.