Last week was historic for the equity market as the Sensex touched 38,000 for the first time. The Nifty inched closer towards 11,500 levels. Despite weak global cues and fears of an escalation in trade wars, the market managed to surmount all worries to hit fresh record highs.

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The small and midcaps space saw strong recovery, but analysts feel investors should tread with caution as benchmark indices are trading at record highs.

Macroeconomic data, trend in global markets, investment by foreign portfolio investors (FPIs) and domestic institutional investors (DIIs), movement of the rupee against the dollar and crude oil prices will dictate the market trend this week.

The Indian stock market will remain shut on Wednesday, August 15, on account of Independence Day.

If the Nifty stays below the key support zone of 11,379–11,359, then experts see this profit-booking getting extended towards 11,300-11,235 levels.

“There is a high likelihood that we may see the profit-booking getting extended towards 11,300–11,235. If this happens, it would be a healthy sign and should be construed as a buying opportunity,” Sameet Chavan, chief analyst-technical and derivatives, Angel Broking, said.

“On the upside, the immediate resistance for the Nifty remains at 11,500-11,520. We will not be surprised to see this hurdle getting crossed and the index continuing its northward journey,” he said.

Chavan feels the first half of the week would be quite crucial and one should keep a close eye on how markets behave around its key levels. The ideal strategy to him would be to have a stock-centric approach and follow a proper exit strategy.

Here is a list of top 10 moneymaking ideas by experts that could return 5-14 percent in next one month:

Analyst: Sameet Chavan, chief analyst-technical and derivatives, Angel Broking

Kansai Nerolac Ltd: Buy| Target: Rs 600| LTP: 524.60| Stop Loss: Rs 482| Return 14 percent

Some of the ‘Paint’ stocks were bucking the trend on Friday and this counter has kept the momentum going for the fourth successive session.

This move was accompanied by more than twice of its average daily volumes; indicating the emergence of a strong buying in the stock.

The weekly chart now looks extremely encouraging and considering the fact that ‘RSI-Smoothened’ crossed the threshold of 70 in the upward direction (on the daily chart), we expect a continuation of this optimism. Hence, we recommend buying for an upside target of Rs.600 and stop loss at Rs.482.

Tata Steel Ltd: Buy| LTP: Rs 576.70| Target: Rs 610| Stop Loss: Rs 553| Return 6 percent

‘Metal’ stocks too participated well during the week and ‘Tata Steel’ was one of the outperforming stocks within this space in the last couple of weeks. Last week, the stock prices confirmed a bullish breakout decisively from the recent strong hurdle of 565.

This was followed by some extension of the move, but we did see some profit booking at higher levels towards the fag end of the week.

Looking at the weekly chart, we expect the stock to surpass the 600 mark quite soon. One can look to go long for a positional target of Rs.610 in coming weeks. The stop loss needs to be fixed at Rs.553.

Analyst: Rajesh Palviya, head – technical and derivatives analyst, Axis Securities Ltd.

M&M Ltd: Buy| LTP: Rs 945.90| Target: Rs 985-994| Stop Loss: Rs 919| Return 4-6 percent

On the weekly chart, the stock has decisively broken out of its 9-weeks consolidation range of Rs 875-940 levels which indicates bullish momentum in the stock.

This breakout is accompanied with rising volumes which supports bullish sentiments ahead. The weekly strength indicator RSI and the momentum indicator Stochastic both have given a positive crossover which supports the bullish sentiments in short to medium-term.

The stock is well placed above its 20, 50 and 100 day-SMA which supports bullish sentiments ahead.

Sobha Ltd: Buy| LTP: Rs 528.05| Target: Rs 553-560| Stop Loss: Rs 498| Return 5-7 percent

With current week's strong gains, the stock has decisively broken out of its downward sloping channel at Rs 490 levels on closing basis. This breakout is accompanied with rising volumes which supports bullish sentiments ahead.

The daily and weekly strength indicator RSI and the momentum indicator Stochastic both are in a positive terrain which supports the upside momentum to continue in the near-term.

The stock is well placed above its 20, 50 and 100 day SMA which supports bullish sentiments ahead. The buying range is Rs 530-520.

Analyst: Mazhar Mohammad, chief strategist – technical research and trading advisory

Mahindra & Mahindra: Buy| Target: Rs 1,020| Stop Loss: Rs 927| Return 8 percent

With new lifetime highs of 953 in last Friday’s session, this counter appears to be on the verge of a fresh breakout from its contracting structure in which it was moving since May 2018 after registering highs of 933.

Hence, momentum shall pick up the pace once it registers a sustainable close above 950 levels. In such a scenario we can project a target of Rs 1,020. Hence, positional traders are advised to buy into this counter for the said targets with a stop below 927 on a closing basis.

Bharat Petroleum: Buy| Target: Rs 429| Stop Loss: Rs 380| Return 7 percent

For the last couple of sessions, this counter appears to be moving in a range of 404 – 384 levels and looks ripe for a breakout from this range. Hence, positional traders in anticipation of such a breakout shall go long for a target of 429 and a stop of 380.

Asian Paints: Buy| Target: Rs 1,490| Stop Loss: Rs 1,390| Return 5 percent

After the recent correction from the highs of Rs 1,490, this counter appears to have posted bottom around recent lows of Rs 1,394.

As price patterns are slowly shaping up in a positive fashion one can buy into this counter for a test of lifetime highs placed around Rs 1,490. A stop suggested for this trade is 1,390.

Brokerage: Karvy Stock Broking Ltd

Bajaj Finserv: Buy| LTP: Rs 7091| Target: Rs 7450| Stop Loss: Rs 6850| Return 5 percent

Bajaj Finserv is in a strong uptrend making higher highs and higher lows on the daily and weekly charts. The stock has outperformed NiftyFINSE last week and generated 2.33 percent. Whereas, Niftyfinse has closed the week with a positive return of 1.17 percent.

The stock has seen in the range of Rs 7,100- 6,855 levels at all-time high levels. Thereafter, the stock has given a breakout of said levels with supportive volume formation on daily charts.

The bounce in the stock has seen a supportive volume formation, which reflects strength in the up move. On technical setup, the 14-period RSI is pointing northwards and sustaining well above the signal line which indicates strength in the counter.

The parabolic SAR is trading well below the price on weekly charts which indicates an upmove in the stock will remain intact. Hence, we recommend smart trader to go long in the stock for the target of Rs 7,450 levels with a stop loss placed below Rs 6850 levels for the week.

Jubilant FoodWorks Ltd: Buy| LTP: Rs 1519| Target: 1600| Stop Loss: Rs 1459| Return 5.3 percent

Jubilant FoodWorks managed to close with gains of 4.90 percent, whereas Nifty FMCG index closed with a marginal loss of 0.07% on a weekly closing basis, exhibiting outperformance of the stock in comparison to the Nifty FMCG.

The stock price is finding support near 1382 levels, where it found support from its major 20-daily EMA and resumed its uptrend. On price charts, the stock in a strong uptrend since May'17.

The daily 14 period RSI is trading above its 9 periods EMA line, indicating a positive momentum on the counter, exhibiting underlying strength in the counter and prices are likely to move higher in the near-future.

Hence, we recommend Smart Traders to initiate Long position near Rs 1,519 levels for the target of Rs 1600, keeping a stop loss below Rs 1,459 levels.

Disclaimer: The views and investment tips expressed by investment experts are their own and not that of the website or its management. Users are advised to check with certified experts before taking any investment decisions.

Source: Moneycontrol.com