Uptrend wave is likely to continue on higher side

Mumbai, Aug 19

Today, the benchmark indices continued their positive momentum. The Sensex was up by 371 points. Among sectors, the Oil and Gas index outperformed, rallying 1.65 percent, whereas the Defence Index lost the most, shed 1 per cent.

Technically, after a muted open, the market took support near 81,300 and bounced back sharply. In addition, a bullish candle on daily charts and an uptrend continuation formation on intraday charts indicate a further uptrend from the current levels.

“For day traders, as long as the market trades above 81,300, the uptrend wave is likely to continue on the higher side, potentially moving up to 82,000-82,300,” says says Shrikant Chouhan, Head - Equity Research, Kotak Securities.

On the flip side, below 81,300, the uptrend would become vulnerable. Under such conditions, traders may prefer to exit their long positions.

Stock Picks

NSDL – Buy | CMP: ₹1,210 | SL: ₹1,170 | Target: ₹1,280 / ₹1,320

NSDL has shown strong recovery momentum after consolidating near support levels. The stock is trading well above its short-term moving averages, indicating sustained strength. RSI is trending higher, suggesting continued bullish sentiment. If it sustains above ₹1,210, the stock may head toward ₹1,280 and ₹1,320. Traders can consider fresh buying opportunities with a stop-loss at ₹1,170 to manage risk effectively.

Belrise Industries – Buy | CMP: ₹155 | SL: ₹148 | Target: ₹165 / ₹172

Belrise Industries is showing bullish traction with higher lows on the daily chart. The stock is holding above short-term averages, supported by improving volumes. RSI is moving positively, reflecting strong buying interest. Sustaining above ₹155 can take the stock higher toward ₹165 and ₹172. A stop-loss at ₹148 is recommended to protect from any sudden downside pressure.

(Source_Riyank Arora Technical Analyst at Mehta Equities)

EoM.