After a day of consolidation, the market rallied and pushed the Nifty beyond the 20,000 mark on September 13. The rally was mainly supported by banks, and experts believe that the index could reach 20,200-20,500 in the coming sessions if it closes above the 20,100 level.
The Nifty50 jumped 77 points to 20,070, while the BSE Sensex gained 246 points at 67,467. The Nifty Midcap 100 and Smallcap 100 indices also showed gains, climbing 0.2 percent and 1 percent respectively. The market breadth remained positive with a 2:1 ratio.
Among the leading sectors, the Bank Nifty was the star performer, rising 398 points to 45,909. On the other hand, the Nifty IT fell 91 points to 32,887 due to profit-taking.
Punjab National Bank, Aarti Industries, and ITI were the stocks that outperformed the broader markets. Punjab National Bank showed a robust bullish candlestick pattern on the daily charts, indicating the possibility of more positivity in the counter. The stock jumped 8.5 percent to Rs 72.55, the highest closing level since July 19, 2019.
Aarti Industries also formed a Bullish Engulfing pattern on the daily charts and took support at the 100-day EMA. The stock jumped 5.6 percent to Rs 526. It seems to have bottomed out in August and has seen a breakout of the downward-sloping resistance trendline.
ITI continued its sharp uptrend for the third consecutive session, rising 19.4 percent to end at a record closing high of Rs 199.65. It formed a robust bullish candlestick pattern on the daily timeframe. The stock gained more than 60 percent during the current week.
Investors are recommended by Anand Rathi Shares & Stock Brokers to consider buying these stocks. For Punjab National Bank, the recommended buy zone is Rs 71-72, with an upside target of Rs 90 and a stop-loss of Rs 61.
For Aarti Industries, the recommended buy zone is Rs 520-528, with a target of Rs 620 and a stop-loss of Rs 470.
As for ITI, investors are advised to be cautious as the stock is trading way above all exponential averages. Partial profit booking is recommended in the zone of Rs 200-210.
Disclaimer: The views and investment tips expressed in this article are those of the experts and not the website or its management. Users are advised to consult certified experts before making any investment decisions.
Definitions:
– Nifty: An index that represents the performance of the top 50 companies listed on the National Stock Exchange of India (NSE).
– BSE Sensex: An index that represents the performance of the top 30 companies listed on the Bombay Stock Exchange (BSE).
– Nifty Midcap 100: An index that represents the performance of the top 100 companies listed on the NSE within the midcap category.
– Smallcap 100: An index that represents the performance of the top 100 companies listed on the NSE within the smallcap category.
– Bank Nifty: An index that represents the performance of the banking sector on the NSE.
– Nifty IT: An index that represents the performance of the IT sector on the NSE.
– Bullish Engulfing: A bullish candlestick pattern that occurs when the opening price is lower than the previous day’s closing price, but the stock closes higher than the previous day’s opening price.
– Daily charts: Charts that plot the price movement of a stock on a daily basis.
– Exponential moving average (EMA): A type of moving average that gives more weight to recent data points.
– Breakout: A price movement that breaks through a significant level of support or resistance.
– Stop-loss: An order placed by an investor to sell a stock if it reaches a certain price, in order to limit potential losses.
– Profit booking: The act of selling a stock to take profits after a price increase.
– Certified experts: Professionals who have the necessary qualifications and knowledge to provide investment advice.
Sources:
– Punjab National Bank, Aarti Industries, and ITI outperformed broader markets: https://www.moneycontrol.com/news/technicals/stock-market-business-today-live-updates-sensex-nifty-bse-teji-mandi-best-investment-advice-tips-dalal-street-7432371.html