Market Trading Guide: Buy BSE and Atlanta Electricals on Thursday for gains up to 13%

Nifty ended with sharp gains on Wednesday, recording its third successive uptick, led by buying action in auto, IT and consumer stocks. The daily RSI has reversed from the deep oversold zone and currently it is in a bullish crossover, suggesting a positive momentum.

Rupak De, Senior Technical Analyst at LKP Securities said the sentiment is likely to remain positive with a possibility to rise towards 24,250. “On Monday it closed with a piercing line pattern (bullish reversal pattern) on the daily timeframe, on Tuesday it closed breaking out of the falling channel on the hourly chart, and on Wednesday it has closed above the 23.60% Fibonacci retracement,” he said, suggesting positive chart structure. He sees a short term support at 23,500.

Here are 2 stock recommendations for Thursday:

Buy BSE at Rs 2,996 | Upside: 12%

Stop Loss: Rs 2,780

Target: Rs 3,200/3,350

The structure for BSE Limited remains constructive as the stock is approaching a key resistance zone near Rs 3,000 after a steady recovery from lower levels, with price sustaining above short- to medium-term moving averages and RSI holding above 60, indicating improving momentum. A decisivebreakout above Rs 3,000 – Rs 3,050 could trigger fresh upside, while the immediate support is placed near Rs 2,850. Traders can consider a buy above Rs 3,020 or on dips towards Rs 2,900 with a stop-loss at Rs 2,780, while upside targets are Rs 3,200 followed by Rs 3,350 as momentum strengthens.

(Kunal Kamble, Sr. Technical Research Analyst, Bonanza Portfolio)

Buy Atlanta Electricals at Rs 1,077 | Upside: 13%

Stop Loss: Rs 980

Target: 1,150/1,220

The structure for Atlanta Electricals Limited is turning bullish as the stock has given a strong recovery from lower levels and is now approaching a key descending trendline resistance near Rs 1,080 – Rs 1,100, with price sustaining above short-term moving averages and RSI indicating improving momentum. A breakout above this zone can trigger fresh upside, while the immediate support lies near Rs 1,000 – Rs 1,020. Traders can consider a buy above Rs 1,090 or on dips towards Rs 1,040 with a stop loss at Rs 980, while upside targets are Rs 1,150 followed by Rs 1,220 if the breakout sustains with volume support.

(Kunal Kamble, Sr. Technical Research Analyst, Bonanza Portfolio)

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