Leading market expert Ravi Singh, Chief Research Officer at Mastertrust, has highlighted a positive outlook for shares of Grasim Industries Ltd and Granules India Ltd. Singh points to robust technical indicators and encouraging business performance as key drivers for potential upward momentum in both stocks.
Grasim Industries: Breakout Signals Upside Potential
Grasim Industries has recently executed a significant technical breakout, surging past the crucial resistance zone of Rs 2,980–3,000. This move, characterized by strong price action, indicates a growing buying interest among investors.
The positive sentiment surrounding Grasim is further bolstered by its recent quarterly earnings, which reported healthy profit growth. This growth was driven by strong performances across its diverse business segments, including cement, chemicals, financial services, and paints. While momentum indicators support the uptrend, the Relative Strength Index (RSI) moving above 70 suggests the stock is in a strong momentum zone, potentially leading to some near-term consolidation.
From a technical standpoint, the previously resistant Rs 2,980–3,000 range is now expected to act as a vital support level. As long as Grasim shares maintain above this threshold, Singh projects potential upside targets around Rs 3,300.
Granules India: Sustained Momentum and Future Targets
Granules India continues to exhibit strength on the charts, successfully sustaining its breakout above the significant Rs 718 level, which previously served as a major resistance zone. Currently trading around Rs 766, the overall price structure suggests that buyers remain firmly in control.
Similar to Grasim, Granules India's recent upmove is underpinned by a solid quarterly performance. The company reported revenues of approximately Rs 1,180 crore and a net profit of around Rs 150 crore, attributed to improved margins and healthy operational expansion. Momentum indicators are supportive, though an RSI near 74 signals that the stock is in a strong momentum zone, potentially indicating a brief cooling-off period after its recent sharp rally.
Singh identifies the Rs 718–720 range as a crucial support area for Granules India. Provided the stock holds above this level, the overall trend is expected to remain positive, with initial upside potential towards Rs 900, and a medium-term target possibly reaching Rs 1,000.
Disclaimer: This information is 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.