Sunday, August 25, 2019

TECHM & ONGC Bullish On Chart

Indian Finance Minister Nirmala Sitharaman has announced many positive things for FPIs, Auto, FMCG, and GST. The market has taken this announcement positively and given bounce from the bottom last Friday. Let's hope the market will start afresh rally and will give relief to investors. We have found two stocks, which looking good buy as per chart.

Technical Overview of TECH MAHINDRA: As we have seen in last week, the market was falling on every day and in this bearish market IT stocks were hitting day high. The reason behind this was only Dollar Index, the sentimental impact was helping to IT stocks. We caught one of them, see below daily chart of Tech Mahindra. On 22nd August, the stock has given Breakout to Trend Line and closed near day high. This breakout has given confirmation of the Inverted Head & Shoulder chart pattern.
As per our view, we can buy TECHM from current levels or on dips till 675-670 for the target of 710-730-750. Keep stop-loss of 660 on a closing basis.
Technical Overview of ONGC: Below is the weekly chart of ONGC, which is showing that the stock is trading in a channel. In last week the stock has made low of 115.75 and completed their cycle of a channel. Now the stock has closed above channel support and we are expecting a bounce from the current levels. Also company has recently announced a dividend that is 7 rupees per share.

If we see a daily chart of ONGC then the stock has opened gap down on last Friday and closed at day high. On the chart, stock has given confirmation of Bullish Engulfing chart pattern and that is the strong confirmation at least 5% bounce from current levels.
We can buy stock from current levels or on dips till 120 with the stop loss of 115 on a closing basis and looking targets 130-135.

Disclaimer: The contents produced here are purely for educational purpose. They should not be construed as buy/sell recommendations. I am not a SEBI registered Analyst or Investment Advisor. Readers are advised to consult their Investment advisor before taking any decisions based on the above write