Market Trading Guide: Indiabulls Real Estate, Persistent Systems among 7 stock recommendations for Monday

Indian equities on Friday ended weak as investors turned cautious amid concerns about potential rate hikes ahead of the Jackson Hole meet. Nifty slumped another 19,266, dragging 121 points, while Sensex ended below 65,000 levels at 64,887. Meanwhile, broader markets underperformed the headline indices.

“The short-term trend of Nifty continues to be negative and there is a possibility of some more weakness in the coming sessions. However, a sizable upside bounce from the important lower support of the 19K mark can't be ruled out in the near term. Immediate resistance is placed at 19380 levels,” Nagaraj Shetti, Technical Research Analyst, HDFC Securities, said.

Here are stock recommendations for Monday:

On the hourly chart, the stock has recently experienced a breakout of a Pennant Pattern, accompanied by significant trading volume, implying a continuation of the prevailing bullish trend. Notably, the stock is trading above its 21-day, 50-day, and 100-day exponential moving averages on both weekly and daily time frames, indicating positive momentum in the mid to long term. Moreover, the technical analysis of the Ichimoku cloud reveals that the price is currently positioned above both the conversion and base lines, underscoring a positive strength for the stock. Additionally, the Momentum Oscillator RSI (21) has surpassed the 70 levels, further reinforcing the positive trend.

(Kunal Kamble, Sr. Technical Analyst, Bonanza Portfolio)

On a daily time frame, the stock is exhibiting higher highs (HH) and higher lows (HL), with a close above the previous high, signaling a positive trend. The noticeable volume spike suggests
strong buyer interest at the current levels. Additionally, the stock’s prices are trading above

significant Exponential Moving Averages (EMA), further reinforcing the positive trend. The Relative Strength Index (RSI), a momentum indicator, is moving in tandem with the price
movement, affirming the prevailing trend.

(Kunal Kamble, Sr. Technical Analyst, Bonanza Portfolio)

On the daily charts, the stock is trading in a symmetrical triangle chart formation, which clearly suggests bullish momentum is likely to remain in the short term. In addition, the stock has formed a higher bottom formation on a weekly scale indicating good strength in the counter for fresh breakout moves in the coming horizon.

(Shrikant Chouhan Head of Equity Research (Retail) Kotak Securities)

After the remarkable up move, the stock is having a breather from the last few weeks. The consolidation in the range bound structure suggests bullish continuation chart formation. Moreover, the stock closed near to its short term moving average. Therefore, the stock is likely to resume its uptrend from the current levels in the near term.

(Shrikant Chouhan Head of Equity Research (Retail) Kotak Securities)

The counter has shown a robust rally from the lower levels in the recent weeks. Additionally, it is continuously trading in an ascending triangle chart formation along with decent volume activity. Therefore, the overall formation indicates a likely breakout for a new leg of up move from the current levels.

(Shrikant Chouhan Head of Equity Research (Retail) Kotak Securities)

Price action in Indiabulls Real Estate indicates that the price is breaking out of a prolonged consolidation phase of more than six months. This consolidation is taking the shape of a break out of a bullish ascending triangle pattern. The price has also crossed the 200-day moving average.

(Manish Shah, Independent SEBI registered investment adviser)

Quick Heal Technologies saw an exceptional week as the prices were up by around 8 percent during the week. The price shows a pattern of higher highs and higher lows which is a sign of an uptrend. The 50-day moving average has crossed above the 200 day moving

average giving us a very strong buy signal.

(Manish Shah, Independent SEBI registered investment adviser)

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)