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Tata Motors stock quote: Bajaj Auto & Tata Motors top mid to long-term car picks: Amit Trivedi

Tata Motors stock quote: Bajaj Auto & Tata Motors top mid to long-term car picks: Amit Trivedi
“The auto index has outperformed the benchmark in recent months. During the recent decline, the Auto index held firm to its key support levels and the recovery after that will drive further outperformance going forward,” said Mr. Amit TrivedicCMT, technical analyst – institutional equities, Yes Effects.

In an interview with ETMarkets, Trivedi said: “Bajaj-Auto found renewed interest in buying near the 2 year average, while servicing at current levels in

push the rally into even higher gear. Both stocks remain candidate stocks in the medium to long term,” according to edited excerpts:


A strong week for Indian markets as benchmark indices rose nearly 3%. What sparked the price action over the past week?
After several weeks of decline, there has been renewed buying interest in the Nifty50 near the 2-year average.

Initially, the Nifty50 defended levels of 15200 on a closing base, while stability helped improve the Nifty’s internal width.

Recovery in all sectors (except the IT index) in Friday’s trading with India VIX cooling below 21 supported Nifty to settle near the 16700 zone.

Where do you see Nifty and Nifty Bank going in June maturity week? Are there important levels you should pay attention to? Do you think the bounce will last?
Nifty is likely to battle with a resistance low near 15863 (ie high from a large bearish candle formed on June 16); and therefore price action near this zone should be closely monitored.

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A decisive break above is essential to unlock the upside potential up to 16200. BankNifty firmly held its March low, pullbacks should be viewed as buying opportunities, slight upside potential to 34000-34200 is possible.

We are moving in the last week of the first six months of 2022. Sensex and Nifty are down more than 7% in the past six months. What are your prospects for the rest of 2022?
The Nifty50 traveled mainly south in the first half of 2022. After losing 18% from its record high, the Nifty50 is expected to weather its multi-month decline.

Unlike the first six months, a major setback in the rest of 2022 is unlikely.

Sectorally, auto stocks bucked the trend, rising 5-6% in a week. What led to the price action and do you think the outperformance will continue into the coming week? Are there strong performers for investors to look out for?
In recent months, the auto index has outperformed the benchmark index. During the recent decline, the auto index held firm to its key support levels, and the recovery after that drives further outperformance.

found renewed interest in buying near the 2 year average, while maintenance at current levels at Tata Motors could push the rally into even higher gear. Both stocks remain on the buy side in the medium to long term.

Small & mid caps, which lagged slightly, were in line with benchmark indices over the past week. How should investors respond to the broader market theme in the second half of 2022?
So far this year, small caps have significantly underperformed the benchmark index and midcap space.

Small caps need time to stabilize and we need to be extremely selective. However, the current drop should be viewed as a buying opportunity in mid-caps such as auto accessories, cement and energy stocks.

Top 3-5 Stocks Investors Can Buy in the Upcoming July Series?
Improvement can be seen in the price structure of stocks such as

, , and . These stocks are expected to do well in the near term, so a corrective decline should be viewed as a buying opportunity.


(Disclaimer: The experts’ recommendations, suggestions, views and opinions are their own. They do not represent the views of Economic Times)