Analyst Raja Venkatraman Flags 3 Stocks for Near-Term Gains
Overview
Indian equity benchmarks staged a smart rebound on Monday, ending a five-day losing streak. NeoTrader's Raja Venkatraman recommends Medplus Health Services, Asian Paints, and BSE Ltd for potential gains, citing technical analysis and emerging positive sentiment in select counters amid market volatility.
Stocks Mentioned
Market Rebounds Amidst Volatility
Indian equity benchmarks snapped a five-day losing streak, staging a sharp rebound on Monday to close in positive territory. The NSE Nifty recovered significantly from early lows, reflecting renewed investor confidence. The market sentiment was buoyed by constructive progress in ongoing India-US trade discussions, signaling optimism.
Raja Venkatraman's Top Picks
Raja Venkatraman, co-founder of NeoTrader, has identified three stocks with potential upside: Medplus Health Services Ltd, Asian Paints Ltd, and BSE Ltd. These recommendations are based on technical analysis and evolving market trends, suggesting selective opportunities amidst broader market churn.
Medplus Health Services: Pharmacy Play
Medplus Health Services, India's second-largest pharmacy retail chain, is recommended for long positions above ₹848, targeting ₹948 within two months. The stock showed price resilience on Monday, forming a large candle with increasing positive Directional Index (DI) signals. Technicals indicate support at ₹797 and resistance at ₹975. Key metrics include a P/E ratio of 192.56.
Asian Paints: Home Decor Growth
Asian Paints, the country's largest paint and home decor company, is a long opportunity above ₹2900, with a target of ₹3050 in two months. The stock has found support near cloud levels, forming a rounding pattern. A strong candle formation near technical bands suggests upside potential if the market continues its rebound. The P/E is 72.01, with support at ₹611 and resistance at ₹690.
BSE Ltd: Exchange Advantage
BSE Ltd, Asia's oldest stock exchange, is a buy above ₹2795, aiming for ₹2925 within two months. The stock has surpassed the ₹2750 resistance level, with strong upside emerging in the last session and a rising ADX indicating strengthening momentum. Support is seen at ₹510, with resistance at ₹541. Its P/E ratio stands at 69.19.
Outlook for Trading
While indices remain somewhat unclear, stock-specific action is evident. The market shows steady buying participation, and dips may offer opportunities. Investors are advised to remain calm and focus on candidates displaying steady performance. Continued geopolitical newsflow and results season are expected to drive volatility.
