In this article, we will discuss the trading strategies for three large-cap stocks – YES Bank, Reliance Industries, and Britannia. These stocks have shown significant movements in recent months, making them attractive options for traders. We will analyze the current trends and provide insights into potential trading strategies for each stock.
Analysis of YES Bank
YES Bank has demonstrated positive momentum in the last two months, with two instances of higher low formations on the daily chart. This improvement in bias suggests a potential buying opportunity for traders. We recommend a ‘Hold’ position on YES Bank, with a target price of Rs 24.75-28.50 and a stop loss at Rs 20. A decisive breach below Rs 20 could weaken the bias.
Analysis of Reliance Industries
Reliance Industries has experienced significant gains in the last two months after a breakout from a descending channel. The stock has reached the previous peak zone of Rs 2,630, where it may face resistance. We suggest a ‘Hold’ position on Reliance Industries, with a target price of Rs 2,730-2,850 and a stop loss at Rs 2,470. A decisive breach above Rs 2,630 could trigger a breakout for fresh targets in the medium-term timeframe.
Analysis of Britannia
Britannia Industries has witnessed a decent rally, surpassing key moving average zones and showing higher bottom formations on the daily chart. This indicates a strengthening trend and a potential buying opportunity. We recommend a ‘Buy’ position on Britannia, with a target price of Rs 5,700-6,070 and a stop loss at Rs 5,180. The stock has the potential to rise further in the medium-term timeframe.
Expert Opinion from Prabhudas Lilladher Analyst
According to Shiju Koothupalakkal, Technical Research Analyst at Prabhudas Lilladher, Britannia Industries is expected to perform well in the upcoming trading session. The analyst suggests a ‘Buy’ rating on Britannia, with a target price range of Rs 5,700-6,070. However, the analyst advises holding positions on Reliance Industries and YES Bank, with target price ranges of Rs 2,730-2,850 and Rs 24.75-28.50 respectively.
FAQ
1. What is the recommended trading strategy for YES Bank?
Answer: A ‘Hold’ position is recommended for YES Bank, with a target price range of Rs 24.75-28.50 and a stop loss at Rs 20.
2. What is the suggested trading strategy for Reliance Industries?
Answer: A ‘Hold’ position is advised for Reliance Industries, with a target price range of Rs 2,730-2,850 and a stop loss at Rs 2,470.
3. What is the target price range for Britannia Industries?
Answer: The target price range for Britannia Industries is Rs 5,700-6,070, with a ‘Buy’ rating.
4. What are the key factors contributing to the positive bias of YES Bank?
Answer: YES Bank has shown instances of higher low formations on the daily chart and has gained in the last two months, indicating a positive bias.
5. What should traders be cautious about when trading these stocks?
Answer: Traders should closely monitor the support and resistance levels mentioned in the trading strategies. A decisive breach above or below these levels could impact the overall bias.
In conclusion
YES Bank, Reliance Industries, and Britannia present interesting trading opportunities based on their recent performance and technical indicators. Traders should carefully consider the recommended strategies and monitor the market conditions to make informed trading decisions.