Weekly Trading Guide: 3 Technical Buy Calls For The Week By Motilal Oswal

India's stock market will be closed on Monday, January 22, 2024, in observance of the public holiday celebrated as the "Pran Pratishtha" event held at the Ram Temple in Ayodhya. On account of Republic Day, the Indian stock market will also remain closed on January 26, 2024.

This implies that there will only be three trading sessions throughout the week, which begin on Monday, January 22, 2024, and ends on Friday, January 26, 2024. The technical & derivatives team of the broking & distribution company Motilal Oswal Financial Services has accordingly picked three technical stocks to buy for the upcoming sessions this week.

Canara Bank

BUY CANARA BANK AT CMP of Rs 478, STOP-LOSS: Rs 460, TARGET: Rs 515

Canara Bank is in strong up move and trading at multiyear high territory. The stock has formed a strong Bullish Candle on daily scale and gave a range breakout after twelve sessions. On weekly scale it formed a strong bullish candle with a long lower shadow which suggests buying is visible at lower zones.

The stock is perfectly respecting to its 20DEMA and the stock has been a huge outperformer within the PSU banking space. Thus, looking at the overall chart set up we recommend to buy the stock with a stop loss below 460 levels on closing basis for an upside target towards 515 zones.

Coal India

BUY COAL INDIA AT CMP of Rs 399, STOP-LOSS: Rs 385, TARGET: Rs 430

Coal India gave a consolidation breakout on daily scale after fourteen sessions and formed a strong bullish candle. On weekly scale as well, the structure of higher highs higher lows is intact and supports are gradually shifting higher.

The stock is holding well above its 20DEMA in the past many sessions and Momentum indicator Relative Strength Index (RSI) is also turning higher which indicates strength in the stock. The stock has been outperformed within the CPSE space and thus looking at the overall chart structure we are recommending to buy the stock with keeping stop loss below 385 levels on closing basis for a target towards 430 zones.

Colgate-Palmolive (India)

BUY COLGATE AT CMP of Rs 2536, STOP-LOSS: Rs 2470, TARGET: Rs 2700

Colgate is trading at new life time high territory and on the verge of giving a breakout on weekly scale. On daily scale the stock gave a trendline breakout with the highest daily close after seventeen sessions. It formed a strong bullish candle on daily and weekly scale which indicates bulls are holding a tight grip in spite of market weakness.

It is trading above its short-term moving average and RSI is also turning upwards which suggests momentum is likely to continue in coming sessions. Thus, looking at the overall chart structure recommending to buy the stock with keeping stop loss below 2470 levels on closing basis for a new life time high towards 2700 zones.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.