Stock Pick For Friday, October 22, 2021

  • Stock Market Analysis
  • Editors Pick

In the previous session, the Nifty Index closed with a net loss of 88.50 points. It’s been the 3rd day in a row when we have seen selling pressure in the index. The index prices have been constantly forming bearish candles and moving in lower highs and lower lows formation. In the last session, the Nifty index saw a positive opening in the morning but soon slipped to the lowest point. However, in the last trading hour, we have seen some recovery in the Nifty Index. At the same time, the Nifty Bank index recovered sharply from its low point and closed with a strong bullish candle on the chart. The market has been showing sector and stock specific movement for the past few days. Hence, we recommend continuing to approach the markets in the same way.

Shriram Transport Finance Co. Ltd. (NS: SRTR )


NSE: SRTRANSFIN   BSE:511218  Sector: Finance

Shriram Transport finance Stock prices have formed a strong positive candle on the weekly chart. At the same time stock has given a breakout above a Symmetrical Triangle pattern. Since price has taken strong support of 50 EMA which suggests a positive bias for the short term. ‘Buy on Dips’ will be the preferred strategy for the stock.


In the daily time frame, share prices are moving in the form of the ‘Inverted Head and Shoulder’ pattern. As shown on the chart, prices have given a breakout above the neckline after the right shoulder has completed near 1400 levels. As per pattern theory, 240 points movement on the upside can be expected in the coming days. As shown on the chart stock comfortably closed above the middle band of the Bollinger Band indicator which indicates short term bullishness.

As the chart looks attractive, one can initiate buy at current levels and add more on dips around support levels near 1420-1425 levels which can take price towards 1640 levels. This outlook is valid as long as we do not see any closing below the neckline of the pattern near 1400 levels.

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  • Pratyush Mittal @Pratyush Mittal
    Every share you tell us always go wrong
    Like 7
    • Pratyush Mittal @Pratyush Mittal
      @Anil Bhargava If only 2-3 stocks gained against 100 socks then it does not mean that he is correct.He always and always goes wrong
      Like 1
    • Deepak Patra @Deepak Patra
      people should do their own research ; there is no short cut .He did his own and presented it here .
      Like 0
    • Pratyush Mittal @Pratyush Mittal
      @Deepak Patra He did his research and presented us the stocks which are going to be down according to him just to make us fools
      Like 1
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