These are the stock that hit 52-week highs

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These are the stock that hit 52-week highs

Domestic indices were trading lower in Wednesday after rising for two straight sessions. The BSE Sensex fell by 176 points or 0.29 per cent to 61,119, while the NSE's Nifty 50 fell 63 points or 0.35 per cent to 18,169. Index heavyweights such as Reliance Industries, Infosys, HDFC and TCS led to the weakness.

Pravesh Gour, senior technical analyst at Swastika Investmart, gave his trading strategies for stocks that hit 52 week highs in Tuesday s session. Here s what he said:

The counter has been in a bullish channel formation for the last 7 months and has been rising in a classical uptrend. The structure of the counter is very lucrative, as it is trading above its all-important moving averages with higher highs and higher lows.

It has formed a three white soldiers candlestick pattern on the higher time frame, which has shown a bullish structure, suggesting there is more potential upside in this counter. The momentum indicator RSI is trading above the 60 mark with a positive bias, while the MACD is witnessing a centerline crossover. The price is trading above clouds, which is now a support for the stocks, according to the Ichimoku cloud.

On the upside, Rs 190 will act as an immediate resistance, above this we can expect a big move to Rs 234 levels while on the downside, Rs 167 is the major support during any correction.

After reaching a new all-time high, the stock went to a new rally towards Rs 340 levels, having retested its previous breakout level of Rs 302 after reaching a new all-time high.

We can expect a run-up towards 354 levels in the near term as Rs 340 is a susceptible area on the upside. The support of Rs 303 is important during any corrections. The MACD moving average convergence divergence is supporting the current strength, while the momentum indicator RSI relative strength index is positively poised.

After hitting a new all time high, the counter has started a new rally towards 880 levels, having retested its previous breakout level of Rs 739. The overall structure of the counter is impressive, as it is trading above its all-important moving averages with higher highs and higher lows.

The pattern suggests immediate targets of 1,000, with the potential to move higher in the short term to 1,050 levels. As an immediate support level, Rs 800 will be an immediate support level. The momentum indicators are positively poised to support the current strength.