ITC, Piramal Enterprises, Navin Fluorine may deliver up to 14% return in short term

About this update from Navin Fluorine International Limited

During the week ended April 26, the market, particularly the Nifty 50, showed rangebound behaviour despite an initial gap-up opening on Monday. Throughout the week, it struggled to break free from this consolidation pattern, eventually closing with modest gains of approximately 1.23 percent. Despite attempts to breach the resistance at 22,600, the Nifty failed to sustain above it, and a sharp downturn in the final session led to the erosion of most of its gains.From a technical standpoint, the Nifty is trading within a rising channel pattern, suggesting potential bullish momentum if it manages to maintain levels above 22,300 in the current week, with a likely target range of 22,750-22,800.Additionally, the long-short ratio of foreign institutional investors (FIIs) stands at 39 percent, indicating limited downside potential.Looking forward, immediate resistance levels for the Nifty are projected at 22,700-22,800, and a decisive close above this range could trigger renewed buying interest in the index futures. Conversely, a breach of the support at 22,300 might intensify the selling pressure in the markets.As for the Nifty Bank index, it experienced a notable uptrend, rallying approximately 2,000 points from the low of 46,600 levels and ending the week with gains of about 1.32 percent. However, the breakout from the cup-and-handle pattern faced significant resistance in the 48,600-48,700 zone, notably near the previous top recorded on December 28, 2023 at 48,636.Surpassing the 49,000 level appears challenging for the Nifty Bank, with support seen at 47,700; a breach of this level could potentially trigger further selling in the index.Here are three buy calls for the next 2-3 weeks:Navin Fluorine International: Buy | LTP: Rs 3,310 | Stop-Loss: Rs 3,095 | Target: Rs 3,700 | Return: 12 percentFollowing its Double Top formation near the Rs 4,900-4,800 zone, Navin Fluorine has experienced a significant downturn, shedding 41 percent in price. However, in the last 5-6 trading sessions, it has found support near Rs 3,000 mark.Concurrently, a Bullish Crab pattern has materialized on Navin Fluorine's daily chart, signaling a potential reversal in trend. Moreover, "regular bull divergence"* has been identified on the relative strength index (RSI) daily scale, indicating strengthening bullish momentum.Based on these technical indicators, investors may consider initiati...

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