In this article, we will delve into two stocks, which are CESC (NS:) and Sportking India Ltd (BO:). Moreover, I have also attached a YouTube video in which I have taken a look at and . I have explained how I expect the indices to trade in the near term while also covering my thought process in a step-by-step manner. Lastly, both stocks being covered in the article are being held by me. My entry into CESC was at Rs. 66.15, while SportKing caught my attention at Rs. 704.05.
Now coming to SportKing India. The equity has had a stellar year so far, as it has risen from Rs. 639 to its current price of Rs. 803. However, I believe this up-move is merely a trailer for what is ahead. Nonetheless, before the stock commences its next upswing, I expect the next few sessions to be bumpy. I say this because I believe the stock will be rangebound for a while which will use the support at Rs. 780. This will be a positive for the stock in the longer term as it will help build a solid foundation for its next upswing.
However, once the equity is able to reclaim the Rs. 820 mark, the stock will commence its next upswing to Rs. 890 and Rs. 950. Should it break these resistance zones, then my next target for it is Rs. 1,100. Thus, owing to my bullishness about the equity, I plan to hold onto the stock with a profit stop at Rs. 740. This is because I am convinced that the gains it has delivered to date are just a glimpse of what lies ahead.
Now coming to the second stock of the day, which is CESC. The equity has done rather well in the past few months, as it has surged from Rs. 62 to its current price of Rs. 91. However, I now expect the stock to face a temporary roadblock in its upward trajectory. This is as it has reached the quantitative resistance level of Rs. 94 and this will be a tough zone to crack. Thus, owing to this I expect the stock to trade within a box range between Rs. 85 and Rs. 94. This is because the range will likely help purge short-term speculators. This, in turn, will help us to have a clean breakout in the weeks to come. This is because once the consolidation phase ends, I expect the equity to reach my medium-term price targets of Rs. 103 and Rs. 120.
In summation, both equities are trading within a range that will help purge short-term speculators. Thus, once the consolidation ends, I expect both of them to do very well. Furthermore, don’t miss the attached YouTube video, where I discuss the Nifty and Bank Nifty. This is because it provides valuable insights into the broader market dynamics that may impact the indexes.
Disclaimer: The investments discussed by Sandeep Singh Ahluwalia may not be suitable for all investors and both the securities discussed above (CESC and SPORTKING) are being personally held by him in his portfolio. Thus, you must trust your analysis and judgment before making investment decisions. The report provided is for informational purposes only and should not be interpreted as a proposition to buy or sell any securities.