Mehta Equities’ top recommendations for Budget 2024 include RVNL, JSW Infra, HAL – CaFE Invest News

By Riyank Arora

Equity market participants are closely watching the sectoral budgetary allocations in the upcoming 2024-25 (FY25) budget, set to be unveiled next month.

They are particularly focused on infrastructure, defense, Agricultural and Renewable energy sectors, which are anticipated to receive the highest spending priority from the government.

On Wednesday, Finance Minister Nirmala Sitharaman chaired the initial pre-Budget consultations with prominent economists in New Delhi, in preparation for the upcoming General Budget for 2024-25.

Stock market this week

Recent movements in Nifty suggest a time-based correction, says Religare Broking

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IT and Pharma top picks for Religare Broking ahead of Budget 2024

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Stock Recommendations:

RVNL

Technically, the stock has given a good re-test to its breakout level of 345.50 and has successfully managed to hold above this level. With the RSI (14) on the daily time frame being near 66.00, the overall momentum looks strong. A strict stop-loss should be kept at the 350.00 mark for potential upside targets of 425.00 and 450.00 in the next 4-6 weeks holding period.

JSW Infra

The stock is trading well above its trendline and consistently moving in a definitive uptrend. Immediate support is placed around the 250.00 mark with minor pull-back support near the 275.00 – 280.00 zone. On the upside, we can see targets of 325.00 and 350.00 as this rally continues. A strict stop-loss should be kept at the 275.00 mark to manage risk well.

HAL

As per the monthly charts, HAL is indicating slightly overbought conditions; however, the daily charts indicate a continuation of the uptrend rally. On the upside, we expect the stock to touch levels of 5450.00 and 5500.00 as this rally continues. A strict stop-loss should be kept at the 4800.00 mark to manage risk well on this trade for HAL.

Balrampur Chini

The stock witnessed a strong breakout above its important resistance level of 420.40 and successfully managed to close above it. With the stock re-visiting its breakout level and the RSI (14) being well above the 65 mark on the daily time frame charts, it appears that the stock should eventually head towards price targets of 455.00 and 475.00. A strict stop-loss should be kept at the 400.00 mark to manage risk well on this trade.

NFL

The stock has given a good breakout above its important resistance mark of 113.00 and is witnessing a good re-test towards the same. With volumes in the stock being nearly 2.5 times its average (30) days traded volume today and the overall price action being positive, we can see potential targets of 130.00 and 150.00 as this uptrend rally continues on fertilizer stocks. A strict stop-loss should be kept at the 105.00 mark to manage risk well on this trade.

Tata Power

The stock is seen trading in a good consolidation phase between 370.00 and 460.00 on its daily time frame charts. An anchor VWAP support is placed around the 430.00 to 435.00 zone, which should serve as an excellent buy zone for the stock. A strict stop-loss should be kept at the 420.00 mark to manage risk well, with potential upside targets of 475.00 and 500.00.

SBIN

The stock touched an important trendline support at 750.00 and bounced back sharply from its lower levels. In the current scenario, immediate resistance is placed at the 912.00 mark with immediate support around the 805.00 levels. A strict stop-loss should be maintained at the 795.00 mark to manage risk well on this trade.

Britannia Industries

The stock has given a strong breakout above its important resistance mark of 5386.05 and successfully managed to close above it. With the stock now witnessing a re-test to the breakout level, the risk-reward is looking favorable on the buying side with a strict stop-loss that can be kept near the 5100.00 mark for potential upside targets of 5800.00 and 6000.00.

IREDA

The stock touched its trendline support mark of 170.00 and bounced sharply from those levels. At present levels of around 179.10, the stock looks like an excellent low-risk buy with a strict stop-loss of 154.00 for potential upside targets of 250.00 and 300.00. RSI (14) being around 50.90 also indicates good signs of potential momentum pick-up on IREDA.

Max Healthcare

The stock has given a strong breakout and successfully managed to close above its resistance zone of 910.00 – 915.00. With volumes rising and surging to almost 1.5 times its average (30) days volume and RSI (14) being around 70.21 and crossing the 65 mark, the momentum pick-up looks strong and the stock looks all set for upside towards 1000.00 and 1050.00. A strict stop-loss should be kept at the 875.00 mark to manage risk well on this trade.

(Disclaimer: Views, recommendations, and opinions expressed by Riyank Arora Technical Analyst at Mehta equities are personal and do not reflect the official position or policy of Financial Express.com. Readers are advised to consult qualified financial advisors before making any investment decisions. Reproducing this content without permission is prohibited.)



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