Vijaya Diagnostic and Two Other Stocks Recommended for Thursday Trading

Indian stock markets closed higher on Wednesday, defying intraday swings and showing resilience despite a jump in crude oil prices. Investors appeared to focus on improving domestic economic indicators rather than global uncertainties. Meanwhile, geopolitical tensions discussed at the United Nations General Assembly maintained a risk premium in oil prices, impacting the Indian rupee negatively against a stronger US dollar.

Against this backdrop, analysts have identified three stocks to watch for Thursday’s trading session, suggesting potential buying opportunities based on technical analysis and recent price movements.

Vijaya Diagnostic Shows Strong Uptrend

Vijaya Diagnostic currently trades around Rs 1,571, having bounced back from a support level near Rs 1,500. The stock is on track toward multi-month highs, supported by a robust upward momentum visible on daily charts. All major exponential moving averages (20, 50, 100, and 200 periods) are sloping upwards, indicating a healthy and sustained positive trend.

Sachin Gupta, Vice President of Technical Research at Choice Equity Broking, points out that Vijaya Diagnostic’s trend remains intact and resilient across various timeframes. He recommends a buy position with a stop-loss set at Rs 1,495 to limit downside risk, and a target price of Rs 1,720 for traders aiming to capitalize on the ongoing rally.

Olectra Signals Bullish Reversal

Olectra is trading near Rs 1,276 after defending its recent base between Rs 1,180 and Rs 1,200. The stock has seen a sharp upward movement, signaling a bullish turnaround in momentum. The 14-period Relative Strength Index (RSI) has climbed to 55.61, crossing above its signal line, which suggests strengthening buying interest and positive momentum.

According to Sachin Gupta, Olectra presents a viable buy opportunity with a recommended stop-loss at Rs 1,211 and a target price of Rs 1,410. This indicates a potential upside for investors looking for momentum plays in the market.

Fivestar Attempts a Constructive Breakout

The stock Fivestar has also caught the attention of technical analysts for its recent price action. Currently trading close to Rs 550, it has rebounded from a multi-week bottom near Rs 520. The RSI stands at 56.06, maintaining a level above its signal line, which confirms persistent upward momentum and active participation from buyers.

Gupta suggests a stop-loss at Rs 519 and a target of Rs 610 for Fivestar, highlighting the stock’s potential for gains following this breakout attempt.

Market Context and Investment Caution

These stock recommendations come amid a broader market environment where investors are carefully balancing domestic growth prospects against external risks like geopolitical tensions and currency fluctuations. The Indian equity market has shown resilience as economic data points to strengthening activity, yet volatility remains due to factors such as crude oil price movements and currency pressures.

It is important for investors to approach these recommendations with due diligence. The article’s author, Podishetti Akash, is not a SEBI-registered analyst and does not hold financial interests in the mentioned companies. The views expressed are derived from SEBI-registered research analysts and brokerage reports and should not be taken as direct investment advice. Investors should review original research reports and consider their own risk tolerance and investment goals before making decisions.

As always, stock trading involves risks, and market conditions can change rapidly. Setting stop-loss levels as advised can help manage potential losses while aiming to benefit from the stocks’ positive technical signals.