Market Trading Guide: 2 Stock Recommendations for Monday

Sensex and Nifty extended their losing streak to five consecutive sessions on Friday as auto, banking and financial stocks pushed the indices into the red. Burdened by rising tensions in the Middle East and increasing foreign capital outflows, investor sentiment remained subdued. The BSE Sensex fell 808 points, or 0.98%, to close at 81,688.4, while the NSE Nifty fell 200 points, or 0.79%, to close at 25,049.8.

The Nifty witnessed a bearish attack for the second consecutive day, with sustained trading below key levels triggering a correction towards 25,000, said Rupak De, senior technical analyst at LKP Securities. “Sentiment has become extremely weak and higher levels are being used as sell zones. At the lower end, the next support lies at 24,750, while at the upper end, resistance is visible at 25,300,” De added. .

Here are 2 stock recommendations for Monday:

Buy LNG from Petronet at Rs 357.85

Target Price: Rs 410

Stop Loss: 320 rupeesPetronet has completed its fourth wave and now the fifth impulsive wave has begun, indicating that the stock is in an uptrend. It recovered from the 0.618 Fibonacci zone and closed above the 0.786 level, indicating a possible bullish move. The price is trading above the fast (20 EMA) and slow (50 EMA) moving averages, confirming the bullish trend.

The increase in volume reflects strong buyer interest in the stock, and the RSI momentum indicator is trending upward, supporting the positive price action. Based on this technical setup, a long position can be considered as long as the stock remains above the 320 level.

Sell ​​TVS Motor at Rs 2,705.15

Target price: Rs 2,330
Stop Loss: Rs 2,980

TVS Motor has formed a bearish marubozu candlestick pattern on the weekly period, indicating a negative trend. The stock has made lower highs and lows, further indicating that sellers have dominated buyers. The RSI supports the price action moving lower, and recent selling pressure has enveloped nearly five weeks of bullish movement, suggesting strength in the downtrend. A short position can be considered in television motors as long as it remains below the 2,985 level.

(Analyst: Kunal Kamble, Senior Technical Research Analyst, Bonanza Portfolio)

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