These 3 stocks can earn you 19% return in short term
Nifty index's new high forms a Double Top, and a close above 22,126 in February could trigger a fresh rally.
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January 2024 witnessed a volatile month, but it concluded on a relatively flat note with no significant catalysts. Patel notes that the Nifty benchmark index experienced fluctuations within the expected range, and based on derivative data, he sees no imminent major market downturns. However, he acknowledges that a significant cut might challenge the market's ability to sustain lower levels.
On the technical side, Patel points out that the Nifty index's new high forms a Double Top, and a close above 22,126 in February could trigger a fresh rally. For the Nifty Bank index, Patel sees 44,400 as a crucial support level, and weekly closings below this point could lead to further market concerns.
Three Recommended Stocks:
Rain Industries:
Current Price (LTP): Rs 180
Stop-Loss: Rs 155
Target: Rs 215
Expected Return: 19%
Patel recommends going long on Rain Industries, citing a breakout from a consolidation range and the formation of a bullish Gartley pattern. He highlights bullish indicators, including volume bars and a trendline violation in the weekly RSI.
Petronet LNG:
Current Price (LTP): Rs 269
Stop-Loss: Rs 235
Target: Rs 320
Expected Return: 19%
Patel notes that Petronet LNG successfully cleared a massive resistance level at Rs 240 in January 2024, accompanied by substantial volume. The stock is currently near Rs 270, and Patel suggests entering long positions in the range of Rs 260–272 with an upside target of Rs 320.
KPR Mill:
Current Price (LTP): Rs 790
Stop-Loss: Rs 749
Target: Rs 860
Expected Return: 9%
Patel highlights KPR Mill's bounce back from the support zone of Rs 730, coinciding with the 100 and 200 DEMA. He mentions a bullish divergence in daily stochastics and recommends buying in the zone of Rs 780–795 with a target of Rs 860.
Disclaimer:
Investors are advised to consider these recommendations cautiously and seek advice from certified experts before making any investment decisions. The views expressed by Patel are his own and not necessarily reflective of the website or its management.
