Stocks to buy: 10 profit-generating ideas that analysts believe can generate gains over 3-4 weeks

NEW DELHI: After posting gains in the last two consecutive sessions, the national stock indexes paused, opening in the red Monday, as global indices were mixed.

Optimism about the strength of the macroeconomic figures and the measures taken by the government to put an end to the fall of the rupee and to control the current account deficit has not helped to lift the market climate. .

Analysts have advised caution.

A HDFC report said government measures to support the rupee might not lead to foreign capital inflows and would be negative in the long run as they would increase short-term debt.

In another report, the global brokerage conglomerate, Credit Suisse, said that Indian equities have far exceeded fundamentals and that investors should see profits in the face of excessive valuations.

The coming week will be truncated. The stock, commodity and forex markets will remain closed on Thursday because of Muharram. Macroeconomic factors, world indices and rupee movements will be the key factors that will influence market movements during the week.

Although the outlook for the overall market remains uncertain, analysts see specific equity opportunities in all sectors. Based on various brokerage recommendations, here are the top 10 stocks expected to make gains over the next three weeks.

Nagaraj Shetti, Technical Research Analyst, HDFC Securities

Biocon | Buy | Indicative price: Rs 725 | Stop loss: Rs 620

The stock has been booming over the last few weeks and has progressed in the positive sequence of higher ups and downs. The short-term downward correction of stock prices appears to be over as share prices have reversed from the near-term low since the last session. A bullish reversal candlestick pattern formation like a hammer from the previous session indicates a possibility of a rising stock price. The 14-period RSI of the momentum oscillator also indicates a positive indication. One can look to buy Biocon at the current market price at 663.40 Rs and add more on the decreases to 635 Rs for the target upwards of 725 Rs over the next 2-3 weeks.

Eicher Motors | Buy | Indicative price: Rs 31,700 | Stop loss: Rs 27,950


This auto stock is evolving into a larger consolidation model. The diagrams of the last five to seven weeks have reported the formation of an ascending triangle type pattern. This triangle is a bottom-up and the break-up point is Rs. 29,400. A sustained break-up could have a positive impact on stock prices. Volume and momentum oscillators support a long trading opportunity. The purchase can be initiated at CMP (Rs 29,369), add more on the drops to 28,500 Rs, maintain the goal of Rs 31,700 in the next 3-4 weeks.

Vaishali Parekh, Senior Technical Analyst, Prabhudas Lilladher


Asian paintings | Buy | Indicative price: Rs 1,440 | Stop loss: Rs 1,280


This stock has grown in the same way as basic training in the daily chart and looks very attractive with a decent rebound to signify strength and upside potential in the coming days. The RSI also touched the oversold zone and showed a reversal of the trend to maintain a positive bias. "With good volume participation, we recommend a purchase in this stock for an upward target of Rs 1,440, while maintaining a stop loss of Rs 1,280," said Parekh.

Voltas | Buy | Indicative price: Rs 675 | Stop loss: Rs 575


This stock indicated a higher background pattern in the daily chart supporting the 50DMA moving average which is near 575 levels and gave a decent rebound indicating a break above the 200DMA moving average. 39, momentum even higher. The RSI also posted a strong increase with a reversal of trend and reported a purchase with a positive bias. "With good volume participation, we recommend a buy in this stock for an upward target of Rs 675 while maintaining a stop loss of Rs 575," said Parekh.

Mazhar Mohammad, Chief Strategist – Technical Research and Trading Advisory, Chartviewindia.in


Brigade Enterprises | Buy | Indicative price: Rs 223 | Stop loss: Rs 193


After a prolonged correction, this counter appears to be in a durable retrieval mode because it has recorded higher levels and higher background structure types on lower frame diagrams. By recording a bullish trend pattern on daily charts, it can be assumed that the recent decline of Rs 220 – 195 could have led to the expansion of the recovery.

Ambuja Cements | Buy | Indicative price: Rs 245 | Stop loss: Rs 216


This counter seems to have formed a solid base around 218 levels of the cushion, which allows it to note a decent appreciation. Therefore, positional traders can buy in this counter now and on drops around the Rs 225 level for a target of Rs 245. Suggested stop for the transaction is Rs 216.

Jayshree Tea & Industries | Buy | Indicative price: Rs 107 | Stop loss: Rs 92


Recently, the tea counter has been overwhelmed, while the rapid rise in volumes is being felt recently. As this counter seems to have started a new bullish phase after seeing a correct correction of its bullish three-day move from 81 to 108 in just three sessions, we can expect it to move towards the level of Rs 108.

Aditya Agarwala, Technical Analyst, YES Securities (India)


Muthoot Finance | Buy | Indicative price: Rs 485-500 | Stop loss: Rs 440


On the weekly chart, Muthoot Finance pulled out of a Triangle model, triggering the resumption of an upward trend. On a daily chart, it is about to break on a flag pattern, indicating higher levels during the next trading sessions. The stock can be purchased in the Rs 454-456 range for Rs 485-500 targets, maintaining a stop loss below Rs 440.

Syngene International | Buy | Indicative price: Rs 670-720 | Stop loss: Rs 590


On the weekly chart, Syngene International approaches the detachment of an ascending triangle at 670 Rs; a successful break up of the neckline can resume the major uptrend. In addition, on the daily chart, he pulled out of a lateral consolidation model indicating higher levels during the next trading sessions. RSI rose from level 45, ie from the bottom of the bullish zone, after recording a positive reversal suggesting higher levels during the next trading sessions. The stock can be sold in the range of Rs 620-623 for targets of Rs 670-720, keeping a stop loss below Rs 590.

Rajesh Palviya- Chief, Technical and Derivatives, Axis Securities.


Jindal Steel and Power | Buy | Indicative price: Rs 242-245 | Stop loss: Rs 220


On the daily chart, the stock price has formed a breakout "Ascending triangle". This breakout is accompanied by a huge surge in volumes that supports the bullish sentiments ahead. The daily strength indicator and weekly RSI and the Stochastic moment indicator are both on the positive ground, confirming that upward momentum will continue in the near term. The stock is well positioned above its 20, 50 and 100 day ADMs, which support bullish sentiment ahead. Jindal Steel can be purchased in the range of Rs 230-225 for targets of Rs 242-245, keeping a stop loss at Rs 220.