Top 2 Stocks to Watch Today – 17 October, 2023

Nifty formed a small-bodied candlestick pattern with an upper and lower shadow, resembling a Doji pattern on the daily chart. This pattern indicates indecisiveness among buyers and sellers regarding the future market trend amid the ongoing Israel-Hamas war.

Nifty opened lower at 19,737 and reached a day’s low of 19,692 in the initial trade. For the major part of the session, the index held the 19,700 mark and closed at 19,732, down 19 points.

Here are the top two stocks to watch on Tuesday:

Polycab India (POLYCAB) – Rs 5,432.95

The stock closed at the prior pivot, forming an ascending triangle formation and reaching a new high. It is trading above all the key moving averages, with the moving average ribbon acting as strong support in the recent uptrend. The Bollinger bands have begun to expand, and the MACD is about to give a bullish signal. The RSI has shifted into the strong bullish zone, and the Elder’s impulse system has formed a bullish signal. The stochastic RSI is also bullish. The stock has cleared all resistances, entering uncharted territory. Higher volume indicates demand for the stock. In short, the stock is about to register a strong bullish breakout, and a move above Rs. 5,423 is positive and can test Rs. 5,600.

MPHASIS – Rs 2,351

The stock closed at a crucial support level, forming an indecisive doji candle and closing below all moving averages. It is below the moving average ribbon and 2.13% below the 50 DMA. The 20 DMA is in a downtrend, the MACD line is below zero, and the histogram shows bearish momentum. The RSI closed on the 40 support, the Elder’s impulse system has formed bearish bars, and the KST and TSI indicators are in a bearish setup. The stochastic RSI also shows a bearish bias. In short, the stock closed at a crucial support, and a move below Rs. 2,350 is negative, potentially testing Rs. 2,267.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.