Hot Stocks | Here is why you should buy HBL Power Systems and sell United Spirts

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The market has a soft hole until last week on October 11 considers some nervousness on the global exchanges. However, the situation settled afterwards when we witnessed a strong closure above 17,900 for the first time. This was followed by an excellent session to behind for the market and in the process, Nifty not only reached another milestone from 18,000 but even surpassed comfortably to mark the highest new outside 18,300. After two weeks of recovery, Nifty finally continued the track up to add more than a few percentage points to Kitty Bulls Mighty.

Even though it became a cut week, the Bulls made their presence feel in all four trading sessions. Importantly, the banking room provided hand helped when it was the most needed because the IT basket had a faltering start after a series of numbers from TCS during last weekend. In fact, like this week developed, the momentum of purchases was accelerated at the banking counter which led benchmarks to record the highest.

This rally has unrelenting properties and we must admit that he has exceeded our expectations with a fair margin. But this is how market functions, always full of surprises and move the way they want. Now because we are trading in an area that has not been mapped, it will be very difficult to project a higher level. Therefore, 18,500 must be seen as a direct psychological level and after that each round of 100 points must be considered the next level.

As far as support, 18,200 followed by 18,000 must be seen as strong support for the coming days. Here, 18,000 hold the key for the bulls and as long as it is maintained comfortably, the Bulls have no reason to worry. Even though the trend is very strong, we repeat that someone must avoid being satisfied at the increased level.

The pragmatic approach is step by step and try to avoid aggressive bets overnight. Stock specific action continues and therefore, traders are advised to stay focused on the bet.

Here are one buying call and one sales call for the next 3-4 weeks:

HBL Power System: Buy | LTP: RS 54.70 | Stop Loss: Rs 49.80 | Target: RS 61 | Back: 11.5 percent

This small ticket size counter has been consolidated since the last four months now. On Thursday, we finally watched the big breakout of this congestion zone.

If we see volume activity, we can see a large enough volume to support this price action. In addition, the oscillator ‘RSI-Smoothened’ on the daily chart has surpassed 70 marks, which can provide encouragement for the next leg of the general meeting.

We recommend buying in the RS 54 – 53.50 range for short-term targets RS 61. Stop Loss can be placed at Rs 49.80.

Stock liquor is on the roll since the last few months and this has become one of the leaders in this space. In a week passed, stock finally saw some fatigue at the highest record. There was no destruction of the main prices like that but we saw the initial signs of some profit order after running nonstop.

In the daily time frame chart, the stock price confirms the daily closure under ‘EMA 5-day’ (exponential moving average) for the first time in recent months. In addition, the oscillator ‘RSI-Smoothened’ has provided negative crossovers in the extreme overbought area.

Traders can look at this counter at a small bounce for the short-term target RS 850. Because the overall trend is very bullish, it is recommended to maintain a strict stop loss at Rs 911.