​Indiabulls Real Estate surges over 35% this week; more upside likely: Mitesh Thacker

In a chat with ET Now, Mitesh Thacker, Technical Analyst, miteshthacker.com, shares his view on how the trade may pan out in the coming week. The expert also shares his trading ideas for the week.

ET Now: What is your sense about how things will pan out in the coming week? How are you positioning yourself?

Mitesh Thacker: Last few days have seen a range-bound movement, where the NSE benchmark Nifty traded in a range of 8,320 to 8,420 levels.

The 50-pack index has developed a 100-point range. I am still not seeing signals for breakout or breakdown. That said, with the way market has moved in the last 10-12 sessions, I believe that the direction has slowly turned on the upside.

In case you break 8,320 on Nifty, there would be strong support coming in at levels of 8,250. Therefore, I would maintain a long bias. Unless 8,250-8,240 on Nifty gets taken out, I will use any kind of dips to buy into the market. My sense is that I will break on the upside. I will have some more consolidation. Eventually, Nifty will start heading towards 8,450-8,500.

If we breached that range, even 8,600 on Nifty could be possible by the July F&O expiry. The outlook looks positive, but as the market has taken a pause, we might see some decline. This consolidation might last for few days, but the direction remains broadly on the upside.

ET Now: Is there any stock that you would like to buy at current juncture?

Mitesh Thacker: The technical charts are looking very interesting for Pidilite Industries and NBCC. With the smart city announcement being made by the PM Modi, NBCC saw a strong price and volume-action breakouts.

That really triggered an uptrend. The stock moved up to about Rs 926 from Rs 810-812 levels in just two sessions. The uptrend is here to stay. The first target for the housing stock would be closer to about Rs 995-1,000. In fact, the scrip can possibly test Rs 1,060 level on the upside. I would continue to buy that stock.

I also like Pidilite Industries. It has done a good base-building in Rs 530-560 range. It is now breaking out above the said range. This stock can head towards the level of Rs 600. It can be a good short-term buy, with a stop loss at below Rs 545.

ET Now: What is you view on Indiabulls Real Estate?

Mitesh Thacker: I was looking at a target of around Rs 60. It did hit a high of around Rs 59.70, but settled lower. The trend has clearly turned on the upside. The important weekly pivot levels lie around Rs 60.

I believe that the stock might consolidate after rallying over 35 per cent in the week gone by. It will eventually head towards Rs 66-67 on the upside. There is still upside over there. But, I would suggest waiting for the stock to cool off.

ET Now: What are your stock recommendations?

Mitesh Thacker: I have a 'buy' call on TVS Motors with a stop at Rs 240, for the target of Rs 260. I like HCL Tech among IT stocks. One can buy the stock with a stop at Rs 940, for the target of Rs 995.