Movers & Shakers: Stocks That Will See Action This Week

Glenmark Pharmaceuticals (₹1,543.35)

Attempting a U-turn

The stock of Glenmark Pharmaceuticals, which has been in a downtrend since October last year, now seems to be turning its direction northward. It has found one support at ₹1,400 bouncing against which the price is now above 50- and 100-day moving averages.

While there might be a minor decline off a trendline at ₹1,575, we expect the stock to eventually surpass this level and head to ₹1,800 in the near-term. So, one can buy shares of Glenmark Pharmaceuticals at ₹1,540 and accumulate at ₹1,450. Place stop-loss at ₹1,370. When the price rises to ₹1,650, revise the stop-loss to ₹1,520. When the stock hits ₹1,750, alter the stop-loss to ₹1,680. Liquidate the longs at ₹1,800.

Nippon Life India Asset Management (₹601)

Downtrend may resume

The stock of Nippon Life India Asset Management, also referred to as NAM-INDIA, has been in a downtrend since November last year. Two weeks ago, it slipped below a key support at ₹640, where the 50-day moving average lies. This had turned the outlook weak. Despite last week’s rally, the trend remains bearish because there are resistances ahead at ₹640 and ₹700.

Also, note that the stock declined in the last two sessions after facing 20-DMA resistance. We expect it to resume the downtrend from here. So, go short on NAM-INDIA when the price inches up to ₹615 and place a stop-loss at ₹650. When the stock touches ₹560, trail the stop-loss to ₹600. Book profits at ₹530.

SRF (₹2,881.25)

Sees a crucial breakout

The stock of SRF, a couple of weeks ago, saw a breakout of the resistance at ₹2,750. This is significant because the price of this stock has been oscillating between ₹2,000 and ₹2,750 since October 2021. Therefore, this breakout, accompanied by good volumes, is expected to result in a considerable rally.

That said, from the current level, the stock might moderate to ₹2,500 before beginning its next upswing. So, buy SRF now at ₹2,880 and buy more shares if the price dips to ₹2,500. Keep stop-loss at ₹2,000. When the price hits ₹3,400, revise the stop-loss to ₹3,150. On a rally to ₹3,750, exit half of the longs. Maintain a stop-loss at ₹3,600 for the remaining positions. Exit them at ₹4,000.