Market Trading Guide: Federal Bank among 4 stock recommendations for Wednesday
Indian equities came under renewed selling pressure, reversing the recent recovery as weak global cues and selling in private banks and IT stocks weighed on investor sentiment. Global markets remained cautious ahead of a busy week of corporate earnings. The Nifty slipped below the psychologically important 23,000 level, while broader market breadth remained weak, reflecting cautious investor sentiment amid earnings-related volatility and uncertain global cues. Here are 4 stock recommendations for Wednesday:
2/5
Buy Federal Bank at Rs 349
Stop loss: Rs 330 Target: Rs 385 Federal Bank has broken above its falling trend line on the daily chart, supported by rising volumes. The breakout indicates improving buying interest and the possibility of further upside. The stock is trading above both the 20-day and 50-day EMAs, reflecting a positive price trend. The RSI stands at 64.43, showing strong bullish momentum. Sachin Gupta, VP - Research, Choice Equity Broking
3/5
Buy Acme Solar at Rs 418
Stop loss: Rs 398 Target: Rs 460 ACME Solar has shown fresh buying interest after taking support near its rising trend line. The stock formed a hammer candlestick pattern around this zone and then broke out with strong volume support, indicating improving buying momentum. The price has also closed and sustained above the 20-day EMA, suggesting strength in the short-term trend. Sachin Gupta, VP - Research, Choice Equity Broking
4/5
Buy Dr Reddy's Lab at Rs 1243
Stop loss: Rs 1180 Target: Rs 1370 Dr Reddy’s Laboratories has shown positive price action after breaking out of its sideways trading range on lower time frame. On the Daily chart, the stock has sustained above its previous three-session highs and closed above the 200-day EMA, indicating improving strength and a possible shift towards a bullish trend. The RSI is currently at 59.92, reflecting positive momentum with further room for an upward move. Sachin Gupta, VP - Research, Choice Equity Broking
Agencies
5/5
Buy Union Bank at Rs 180-182
Stop loss: Rs 175 Target: Rs 190 Union Bank of India demonstrates a decisive horizontal resistance breakout on the daily chart, pushing to 180.70 (+5.25%). Trading comfortably above its key 20/50/100/200 EMAs with expanding volume and a bullish RSI crossover curling upward past signal lines to 58.44, the setup confirms accelerated upside momentum toward 190.00. Virat Jagad, Sr Technical Research Analyst, at Bonanza Portfolio
Disclosure: This article has been written by Podishetti Akash, who is not a SEBI-registered Research Analyst or an Investment Adviser. Podishetti Akash and his ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclosures here.