Shares to buy on Tuesday: Analyst bullish on Nifty Auto, recommends buy for these targets; picks Bajaj Auto, Tata Motors for gains today
Nifty Auto ended at 10,765.15, gaining 3.2 per cent on Monday. In the 15-share index, 12 stocks advanced while 3 declined. Maruti Suzuki was the top gainer, followed by Mahindra & Mahindra and Tata Motors, which gained 6.4 per cent, 4.3 per cent and 4.1 per cent, respectively
Nifty Auto ended at 10,765.15, gaining 3.2 per cent on Monday. In the 15-share index, 12 stocks advanced while 3 declined. Maruti Suzuki was the top gainer, followed by Mahindra & Mahindra and Tata Motors, which gained 6.4 per cent, 4.3 per cent and 4.1 per cent, respectively. Technical Analyst Nilesh Jain is bullish on Nifty Index and certain stocks and recommends buy on it along with these stocks.
Jain, who is Assistant Vice President (AVP), Equity Research Technical and Derivatives at Centrum Broking, said that the Nifty Auto index has witnessed a symmetrical triangle breakout. He gives price targets of 11,300, 11,600 and 12,000, respectively with a short term, positional medium term and long-term view.
See Zee Business Live TV Streaming Below:
He also recommended three stocks with buy calls on Tuesday, when the markets reopen.
Stocks to buy - Bajaj Auto and Tata Motors
Bajaj Auto – Shares of Bajaj Auto pn Monday ended at Rs 3911 on the NSE, up by 2.6 per cent or Rs 101 from the Friday closing price. The target price of this stock for the October series is Rs 4100-4200. He puts the stop loss at Rs 3750.
The 52-week high is Rs 4361.40 while the 52-week low is Rs 2822.45.
Tata Motors – Tata Motors stocks were among the biggest gainers on this index only, behind Maruti Suzuki on Monday. They were up over 4 per cent to end at Rs 331. Jain said that the stock recently had an inverted head & shoulder breakout at level around Rs 315. He puts the target price at Rs 360 while the stop loss at Rs 315.
The 52-week high is Rs 360.75 while the 52-week low is Rs 122.15.
Motherson Sumi - Jain also recommended Motherson Sumi as his top buy in the auto ancillary segment. This stock is not from the Nifty Auto index. This stock ended at Rs 233.45 on the NSE on Monday, up 3.9 per cent from the last closing price on Friday. The short-term target price is Rs 350-Rs 360. He recommends buy on dips with a stop loss at Rs 218.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.