In a recent interaction with Business Today Television (BTTV), Akshay Bhagwat of JM Financial Services offered his technical insights and trading recommendations across a diverse set of Indian stocks: One 97 Communications Ltd (Paytm), KRN Heat Exchanger and Refrigeration Ltd, Ather Energy Ltd, and Vishal Mega Mart Ltd. His advice covers crucial entry levels, target prices, and profit booking strategies for traders.
Paytm: Profit Booking Recommended
For investors who entered Paytm at lower levels, Bhagwat strongly advised booking profits. He noted the stock's sharp recent rise and expressed skepticism about buying at current rates, suggesting that a significant correction could be imminent if the stock falls from its present levels.
"Going strictly by technical parameters, profit booking is a must in this stock at the current levels if you have entered into this stock at good rates on the lower end... So I'm slightly skeptical about buying Paytm at the current rates. Book profit is my advice if you are a trader going by technical charts," Bhagwat stated.
KRN Heat Exchanger: Re-entry at Breakout Levels
KRN Heat Exchanger recently experienced a technical breakout around Rs 1,350, marked by two consecutive gap-up openings. Following a correction from Rs 1,650, Bhagwat identified the Rs 1,350 level as a potential re-entry point, anticipating that the gap area could be filled.
"A few days back, the stock had staged a breakout at the levels of Rs 1,350... Now, with the correction setting in from Rs 1,650, the chances are likely that this gap area can be filled. So your buying area is around Rs 1,350. That is where you can reenter KRN Heat Exchanger," he explained.
Ather Energy: Strong Trend Despite Sideways Market
Despite recent sideways market action, the trend for Ather Energy remains strong, particularly after its entry into the futures and options (F&O) segment. Bhagwat suggested that Rs 1,500 presents a good opportunity for re-entry for traders looking to capitalize on its firm trend.
"I think the trend is still strong and firm. It's just the market conditions which are seeing a sideways action since last few days. So if you're looking at re-entry opportunities, roughly around Rs 1,500 is the point where you can consider a re-entry in Ather Energy," Bhagwat added.
Vishal Mega Mart: Temporary Recovery Rally
Vishal Mega Mart has seen a significant correction, falling from a high of Rs 152 to trade near Rs 100. Bhagwat anticipates a temporary recovery rally from current levels, potentially extending up to Rs 120. He advised traders to consider buying at current rates, averaging out, with a stop loss at Rs 90. The target horizon for this recovery is estimated at two to three months.
"Probability is high that from these levels it might attract buyers again. There might be a temporary recovery rally... For the trading aspect, with stop loss of Rs 90, you may buy it at current rate, average it out. Rs 120 is the target area you can look forward to. Time horizon should be roughly around two to three months for these targets to be achieved," Bhagwat concluded.