Indian markets have closed at record highs this week on the back of supportive global cues and Cabinet meeting outcomes which is expected to favour auto, realty and banking stock in the long term. However, there was some profit booking seen on the last trading session of the week. Nifty comfortably closed above the level of 17,500. The valuations are looking a bit stretched but corrections can be used as buying opportunities as the overall outlook appears to be constructive. As long as Nifty holds above 17,250, we expect it to test its resistance level of 17,850. Investors are advised to maintain a stock-specific approach going forward.
Here are few top picks for the week:
1. BUY: Astral Poly Technik Ltd (NS:ASTL) (ABOVE – 2165)
TARGET: 2248
STOP LOSS: 2089
The stock is witnessing consolidation on its daily charts. It is facing resistance around the level of 2160. Any breakout above the level of 2160 would add further upward momentum to the stock. Therefore, we recommend initiating a buy position above Rs. 2165 with a stop loss of Rs. 2089 and a target of Rs. 2248.
2. BUY: Blue Dart Express Ltd. (NS:BLDT) (ABOVE – 6511)
TARGET: 6598
STOP LOSS: 6429
This stock has formed a flag pattern on its daily charts and taking support of its important moving averages. The stock has witnessed strong consolidation on its daily charts. Any breakout above the level of 6500 would add further upward momentum to the stock. Therefore, we recommend initiating a buy position above Rs. 6511 with a stop loss of Rs. 6429 and a target of Rs. 6598.
Disclaimer - Neither CapitalVia nor its analysts hold a position in any of the stocks mentioned above.