Big Movers on D-Street: What should investors do with AB Capital, Sapphire Foods and HDFC Bank?

Stocks that were in focus include names like AB Capital, which rose 6.54%, Sapphire Foods, which gained 1.37% and HDFC Bank, whose shares jumped 1.39% on Tuesday.

Here’s what Viral Chheda, Sr. Technical Analyst at SSJ Finance & Securities, recommends investors should do with these stocks when the market resumes trading today:

AB Capital – Buy
In the daily chart we can see that after making a low around 133 on Jan 2023, the price has given a sharp upside rally to make a five-year high of 183.6. The stock has given almost 33% returns in the span of 4 months as buyers were having the upper hand against sellers.

From highs, the price has witnessed some profit booking to make a low around 50 DMA of 168. After taking support, the price has given some pull back and today with high volume price has breached the previous high to make a new high of 193 odd levels.

Volumes were at a peak as the bulls were in full control. The stock can face resistance of around 200 from where we can see some correction to test the lower level of 180 and can rebound from there to make new highs of 250-290 odd levels.

The stock is also moving above all its major averages of 20 DMA, 50 DMA and 200 DMA indicating Bulls can lead the price for higher levels.The Stochastics Oscillator is moving in an upward trend along with an increase in volume indicating an upward movement with limited downside risk.

Hence one can buy at the current level and more at dips of 180 with stop loss of 168 on a weekly closing basis and the upside can see a level of 250 to 290 in the next 8-10 months.

Sapphire Foods – Buy
In the daily chart after consolidating in the range of 1120-1250 for almost two months, the price has witnessed a sharp bull run to breach the range and made a high of 1465 levels.

Giving a return of almost 15% from the breakout level of 1250 indicates bulls were having the upper hand on the price. Volumes were also increased indicating higher levels can be seen in the short term.

From highs, the price witnessed some correction forming Descending Triangle Pattern and yesterday with high volume price moved above the pattern and closing above 20 DMA of 1400 we can expect some upside move.

The Stochastics Oscillator is also moving in an upward trend along with an increase in volume indicating an upward movement with limited downside risk.

Hence one can buy at the current level and more at dips of 1350 with SL of 1280 on a weekly closing basis and the upside can see a level of 1600 to 1750 in the next 8-10 months.

HDFC Bank – Buy
In the longer-term chart after making multiple bottoms around 1260 in May 2022 price has given a sharp upside rally to make an all-time high of 1715 odd levels.

During this period Higher Top Higher Bottom Pattern was seen as buyers were having the upper hand against bears. From highs, the price witnessed some correction moving in Downward Falling Channel and in the previous week with high volume price breached the channel on a positive note and closing at higher notes indicates further upside from here.

Currently, the price is moving above the previous week’s higher level indicating bulls are having control over the price and more upside can be seen. Price is trading above all major averages which is a good sign for a further up move.

The RSI Oscillator is also moving in an upward trend along with an increase in volume indicating an upward movement with limited downside risk.

Hence one can buy at the current level and more at dips of 1600 with a stop loss of 1550 on a weekly closing basis and the upside can see a level of 1800 to 1900 in the next 8-10 months.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)