Technical Breakout Stocks: Hind Zinc and Escorts hit fresh record highs. Here’s how to trade on Monday

The Indian market recouped losses to close in the black. The S&P BSE Sensex rose over 260 points, while the Nifty50 reclaimed 22,000.

Sectorally, buying was seen in telecom, metal, oil & gas, power, and utilities, while selling was seen in banks, realty, and IT stocks.

Stocks in focus include names like Hindustan Zinc, which was up more than 15% to hit a fresh record high, while Escorts Kubota rose over 3% on Friday.

We have collated a list of three stocks that either hit fresh 52-week highs, or all-time highs or saw a volume or a price breakout.

We spoke to an analyst on how one should look at these stocks the next trading day entirely from an educational point of view: Analyst: Kunal Kamble, Sr Technical Analyst at Bonanza Portfolio

Hindustan Zinc: Avoid

On August 31, 2015, Hindustan Zinc took the support of 200 and 50-EMA (placed at 127) and rallied up to 340, but then corrected towards the 200-EMA (placed at 157), making a higher low.It rallied again towards the previous level of 340 and retracement was seen towards the 50-day EMA placed at 245 forming an Ascending Triangle pattern with a shortfall, indicating a breakout on the upside.

A breakout was witnessed on March 28, 2024, and the stock since then has rallied towards 530 levels – a move expected to extend towards 560 levels.

However, at the current market price, it is better to avoid a fresh entry and any throwback to the 400 level would be an opportunity to enter.

Hindustan Zinc (All Time High)

Escorts: Buy On Dips

Escort is running its 3rd wave and 5th wave, targeting towards 3721 level and extended moves can be expected towards 40,000 levels.

The price has taken support at 50 EMA and moved upward, which will be a strong support in the coming months.

A dip towards the 2,800 level would be an opportunity to enter long in the security.

Escorts (All Time High)

(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of The Economic Times)

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