The Indian equity market commenced the week on a positive note, fueled by renewed optimism for engagement between the US and Iran, which helped ease inflationary concerns driven by falling crude oil prices and bond yields. The BSE Sensex closed up 564.03 points (0.76%) at 74,858.99, while the NSE Nifty50 gained 67.90 points (0.29%) to settle at 23,414.30.
Amidst this market uplift, select banking and infrastructure stocks, including YES Bank, GMR Airports Infrastructure, and IDFC First Bank, are drawing significant attention from traders. Jigar S Patel, Senior Technical Research Analyst at Anand Rathi Share and Stock Brokers Ltd, has provided detailed technical insights and trading recommendations for these counters ahead of Tuesday's session.
GMR Airports Infrastructure: Buy Recommendation
GMR Airports Infrastructure Ltd is exhibiting a double-bottom formation on its charts, a pattern often indicative of a potential bullish reversal. This is further supported by a bullish divergence observed on the Relative Strength Index (RSI), signaling improving momentum for the stock. Analysts suggest that the stock is currently at a crucial technical juncture. A sustained trade above the Rs 98 level could trigger further upward movement, targeting Rs 105. Therefore, Rs 98 is identified as a key support and a trigger level for the anticipated rally. The recommendation stands as 'Buy' with a target price of Rs 105 and a stop loss at Rs 98.
IDFC First Bank: Book Profits Advised
IDFC First Bank has experienced a substantial rally, climbing from Rs 58 to Rs 88. However, the stock is now encountering significant resistance around the Rs 88 mark. Following such a sharp upward trajectory, the possibility of consolidation or a cooling-off period cannot be discounted. Traders are advised to consider booking partial profits at these elevated levels and exercise caution against chasing the stock at its current valuation.
YES Bank: Buy Recommendation
YES Bank Ltd is currently holding above the middle band of the Keltner channel, which is acting as a crucial support level around Rs 22.80. The RSI sustaining above the 50 mark on the daily chart indicates positive momentum. Furthermore, the price action continues to maintain its position above a previous breakout zone, reinforcing the ongoing bullish structure. Analysts anticipate YES Bank to continue its upward trajectory towards Rs 25, which is identified as a major resistance level. The key support remains at Rs 22, with Rs 22.80 serving as immediate technical support. The recommendation is 'Buy' with a target price of Rs 25 and a stop loss at Rs 22.
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.