The stock market bounced back sharply on Monday morning after tanking in the last five trading sessions. The BSE Sensex began the upward rally and climbed more than 600 points to touch 78,669.93 in early trade, while the NSE Nifty50 gained over 200 points to cross 23,800.
However, by afternoon, the indices pared their gains. Around 2:15 PM, the Sensex stood over 300 points higher and traded near 78,364, while the Nifty stood at 23,700, logging a gain of more than 100 points.
Stock Recommendations By Kunal Kamble, Senior Technical Research Analyst At Bonanza
KEC International Ltd
KEC broken out of a Flag and Pole pattern on the daily timeframe, signalling a bullish continuation. The above-average volume levels highlighted strong buying interest in the stock. Based on this technical setup, a long position can be initiated as long as the stock holds above Rs 1170, with potential targets in the range of Rs 1400 to Rs 1500.
Techno Electric & Engineering Company Ltd
TECHNOE broke out of a Double Bottom pattern, a key reversal formation. The stock closed above the neckline for two consecutive sessions with rising volumes, reflecting strong buying interest. Based on this technical setup, a long position can be considered with a stop-loss at Rs 1,525 and potential targets in the range of Rs 1,710 to Rs 1,810.
MTAR Technologies Ltd
Mtartech traded within a falling parallel channel, with a shortfall in the pattern suggesting a potential breakout to the upside. The recent gap-up opening, accompanied by increased volume, signalled strong buyer interest at the current price levels. Based on this technical setup, a long position can be considered with a stop-loss at Rs 1,620 and potential targets in the range of Rs 2,050 to Rs 2,150.
Kingfa Science & Technology (India) Ltd
KINGFA broke out of a Cup and Handle pattern, indicating growing buyer interest supported by a consistent increase in volume. The price traded above the 50 DEMA, confirming an upward trend. Based on this technical setup, a long position can be considered with a stop-loss at Rs 3,220 and potential targets in the range of Rs 3,922 to Rs 4,200.
Chembond Chemicals Ltd
CHEMBOND broke out of a falling trend line, signalling a potential trend reversal to the upside. This breakout was accompanied by increased volumes, indicating strong buyer interest. Based on this technical setup, a long position in CHEMBOND can be considered as long as the stock maintains support above Rs 580. The expected target range is Rs 660 to Rs 700.
[Disclaimer: Investing in the stock market involves financial risks. Please invest responsibly and only after thorough research and careful consideration. Reader discretion is advised.]