Indian equity markets posted gains on Wednesday, driven by supportive global cues and easing crude oil prices ahead of the US Federal Reserve's policy outcome. The BSE Sensex rose 0.45 percent to 74,336.45, while the NSE Nifty50 climbed 0.43 percent to settle at 23,217.60. Amidst this market activity, select buzzing stocks like One 97 Communications Ltd (Paytm), Tata Chemicals, and Kalyan Jewellers India Ltd are drawing significant attention from traders.
Laxmikant Shukla, Technical Research Analyst at YES Securities, has provided detailed insights into these stocks for the upcoming trading sessions, outlining key levels, target prices, and stop losses.
Stock Analysis and Trading Insights
One 97 Communications (Paytm)
Paytm has demonstrated a significant breakout from its monthly rounding-bottom pattern above Rs 1,410, initiating a strong rally towards Rs 1,855. This strength is further validated by its weekly structure, with prices maintaining above key moving averages and supported by increasing trading volumes. Traders employing a 'buy-on-dips' strategy may find the Rs 1,700–1,680 range an ideal accumulation zone, aligning with the breakout formation and clear demand.
- Recommendation: Buy
- Target Price: Rs 2,000
- Stop Loss: Rs 1,600
With the broader trend firmly intact, Paytm appears well-positioned to extend its upward movement towards Rs 1,955–2,000, comfortably surpassing its IPO level. However, a close below Rs 1,600 would signal an important downside risk to monitor.
Tata Chemicals
Despite a recent pullback from its highs, Tata Chemicals Ltd continues to exhibit a constructive setup. The appearance of a long-leg doji on the daily chart, following a prolonged decline, indicates an emerging reversal pattern. Price strength above major moving averages supports the potential for further upside. Dips towards the Rs 690–700 range could be utilized as entry opportunities.
- Recommendation: Buy
- Target Price: Rs 800
- Stop Loss: Rs 660
The stock is poised for a potential move towards Rs 800–810, with a crucial stop loss placed at Rs 660 to manage risk.
Kalyan Jewellers India
Following its recent advance from Rs 556 to Rs 620, Kalyan Jewellers is currently undergoing a pullback, primarily driven by profit-taking. This suggests a phase of correction or consolidation. The stock faces a strong resistance hurdle in the Rs 610-620 range, attributed to the presence of a previous swing high and its 20-day Simple Moving Average (SMA). A sustained break above this band is essential to confirm a bullish reversal.
- Recommendation: Caution
- Resistance: Rs 620
- Support: Rs 555
On the downside, the critical support zone to watch is Rs 560-555. A breach below this level could accelerate a decline towards the Rs 530-525 area.
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.