Big Movers on D-St: What should investors do with HUDCO, Rashtriya Chemicals and PNB?

Indian market closed in the green on Wednesday for the second consecutive day. The S&P BSE Sensex rose nearly 100 points while Nifty50 closed above 18200 levels.

Sectorally, buying was seen in the public sector, oil & gas, banks, metals, and energy stocks while some selling was seen in capital goods, consumer durables, and IT stocks.

Stocks that were in focus include names like HUDCO which was up over 5%, Rashtriya Chemicals which gained more than 11%, and Punjab National Bank which rose over 4% on Wednesday.

Here's what Akhilesh Jat, Category Manager - Equity Research, CapitalVia Global Research recommends investors should do with these stocks when the market resumes trading today:

HUDCO: Buy Rs 51.20| Stop Loss Rs 48| Target Rs 55 & 58
Shares prices of HUDCO rallied over 5% to hit a fresh 52-week high of Rs 51.20 on Wednesday. After the two consecutive losing streaks, stock prices have completed a corrective pattern and have now resumed the uptrend.

The long-term trend of the stock is bullish as it is trading above its 200-DEMA and the upside move in the last couple of sessions from its support with marginally higher volume suggests strength in its primary trend.

We recommend initiating a fresh long position for the potential targets of Rs. 58.

Rashtriya Chemical: Buy Rs 120| Stop Loss Rs 112| Target Rs 130 & 142
Shares price of Rashtriya Chemicals surged as much as 14.28% intra-day on Wednesday to trade above its multi-year high. The stock has gained nearly 52% of its market value on NSE in the calendar year 2022, so far.

The primary trend of the stock is bullish, and it has given the breakout of a bullish continuation pattern pennant on the weekly chart with higher volume suggesting more upside in the near term.

PNB: Buy: Rs 51| Stop Loss Rs 48| Target Rs 56
Shares price of PNB closed positive for the sixth consecutive session. The stock has given the breakout of its important resistance level and continuously sustained above the same.

The stock has rallied over 11% so far in the week and traded at the highest point since 20 February 2020.

At the current juncture, the stock is trading in Higher-High & Higher-Low formations and an important resistance zone breakout with volume-based sustainability may favour bull run in the near term.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)