YES Bank, BEML, Vedanta, Graphite India and Timken India are a few stocks that have recently seen a breakout and are looking good on technical charts. A couple of technical experts have expressed their views on resistance and support levels, buying range, stop losses and price targets for the five stocks.
The YES Bank counter has seen a breakout of the inverse head shoulders formation pattern, with a long consolidation. It saw a V-shaped recovery from its previous breakout level. It is trading above its all-important moving averages. The levels of Rs 18 19 are the immediate resistance zone on the higher side. One can expect the stock to hit the Rs 21 level in the near term. During any corrections, Rs 16 is the strong support on the lower side.
BEML has seen a huge surge in price on the back of robust volumes and has soared from its sacrosanct support zone, indicating a strong technical build-up in the counter. The 14 period RSI has seen a positive crossover from the oversold territory, adding to a bullish quotient in the counter. As far as levels are concerned, the stock is likely to regain the same in a comparable period, and is likely to return to its immediate swing high of Rs 1,630 -- 1,650 odd-zone. The support base has shifted towards the Rs 1,500 levels and looking at the recent vertical rally, any cool-off in the counter should augur well for the market participants to enter the rally.
Bearing companies were out of the game in 2022 because of their outperformance in the capital goods sector. Timken India is in a strong uptrend and remains ICICIdirect's top pick. The stock has recently completed a faster retracement of September-October decline in single week, confirming the continuation of a structural uptrend with a sharp increase in volumes, further corroborating the bullish view. Since its major low in 2020, each decline attracted elevated buying demand near 100 day EMA and the same rhythm is continued in October as a positive structure. In the coming few months ICICI expects the share price to go towards Rs 4,070 as it is the result of a range breakout of Rs 3,400 -- 2,730 670 points projected from breakout level. The weekly MACD has generated fresh crossover above its 9 period average, indicating a continuation of positive momentum in the medium term. ICICIdirect recommends traders to buy the stock in the range of Rs 3,520 -- 3,575 with a stop loss of Rs 3,280.
Vedanta is in an ascending triangle pattern with an up-sloping channel formation, where the 50 DMA is acting as immediate and strong support, but the 50 per cent retracement of the previous fall at Rs 325 is acting as a critical hurdle. It needs to reach the Rs 325 level to gain any meaningful strength. If it manages to take out the Rs 325 mark, it is likely that it will go towards the Rs 380 level. The 50 DMA that stood at Rs 290 is an immediate and critical support level.
There has been a lot of talk about metal stocks in the past few sessions due to the prospects of China relaxing its Covid-zero stance and softness in the dollar against major currencies. ICICIdirect expect graphite players to catch up with large metal companies in terms of price performance and make a smart recovery from oversold readings. Graphite India's share price has held its June lows on multiple occasions and resolved out of short term rounding bottom formation. The stock went above its hurdle of Rs 390 last week and witnessed follow through buying in Monday's session, along with volumes expanding in both sessions. ICICIdirect expects its share price to go towards Rs 450 in the short term, which was its August swing high.