Amid fluctuating Indian equity markets, domestic brokerage firms Canara Bank Securities and SMC Global Securities have highlighted several stocks for potential short-term gains. These recommendations are grounded in detailed technical analysis and strong chart patterns observed across the selected companies.
Heritage Foods: Breakout from Consolidation
SMC Global Securities recommends a 'Buy' for Heritage Foods Ltd., noting a decisive breakout from an ascending triangle consolidation pattern on its weekly charts. After a significant correction, the stock established a tight trading range, with resistance around Rs 390–400 and rising trend line support near Rs 300–330. The recent price action pushed the stock above Rs 410, confirming the breakout with expanding volume. Technical indicators like the Relative Strength Index (RSI) are firmly above 60, and the Moving Average Convergence Divergence (MACD) lines show a bullish crossover, reinforcing positive momentum. Investors can consider accumulating Heritage Foods on dips in the Rs 400-410 range, targeting Rs 460-465, with a stop-loss set below Rs 370.
Supreme Petrochem: Bullish Trendline Breakout
Canara Bank Securities has issued a 'Buy' recommendation for Supreme Petrochem Ltd. The stock's chart demonstrates a bullish breakout from a downward sloping trendline. Its price has moved above all key moving averages, signaling improving momentum and a strengthening trend structure. The RSI is positioned around 62, indicating strong momentum that could continue to push the stock higher in the near term. The brokerage advises buying Supreme Petrochem at current levels, setting short-term targets of Rs 845-883, and maintaining a stop-loss at Rs 775.
Venky's (India): Emerging from Base-Building
SMC Global Securities also suggests a 'Buy' for Venky's (India) Ltd., which appears to be emerging from a prolonged base-building phase following a multi-year decline from its peak of Rs 2,400. The stock has shown a series of higher lows, indicating accumulation at lower price points. A decisive breakout above the horizontal resistance band at Rs 1,600 has been observed, alongside an inverted head & shoulder pattern on its technical setup. With the current candle closing around Rs 1,787 on strong volume, and RSI holding above 60 coupled with a positive MACD crossover, a bullish structural shift is supported. The Rs 1,600 breakout zone now acts as immediate support. Accumulation is recommended in the Rs 1,760-1,790 range, targeting Rs 2,080-2,100, with a stop-loss below Rs 1,580.
BEML: Strong Momentum Post-Breakout
Lastly, Canara Bank Securities recommends a 'Buy' for BEML Ltd. The company's charts reveal a bullish breakout from a downward sloping trendline, with the price moving above all moving averages, indicating improved momentum and a robust trend structure. The RSI is near the bullish zone around 60, suggesting strong short-term upward potential. Investors are advised to buy BEML at current levels, targeting Rs 2,203-2,404, with a stop-loss at Rs 1,848.
Disclaimer: This article provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.