Buy these two shares for gains while bulls attempt a comeback, resistance at 17650 By Nagaraj Shetti After showing a sustainable upside bounce on Tuesday, the Nifty shifted into a consolidation with a positive bias on Wednesday and closed the day higher by 27 points. After opening on a negative note, the market showed intraday volatility throughout the day. Upside momentum got strengthened during later part of the day and the Nifty closed near the highs. The market is in an attempt of a comeback from the lows and further sustainable up-move from here could bring bulls into a driver’s seat. Immediate resistance is to be watched at 17650 and a sustainable move above this area is expected to pull Nifty towards another hurdle of 17850 levels in the short term. After showing a range-bound action in the last 5-6 weeks, the stock price (APCOTEXIND) has witnessed a sharp upside breakout of the hurdle of Rs 585 in this week and is trading higher. The larger degree of higher tops and bottoms is active on the weekly chart which signals an intermediate uptrend is intact. The volume has expanded during the upside breakout in the stock price and weekly RSI shows a positive indication. Also Read: Manufacturing activity at pre-covid levels, Capex, PLI to augment growth; check top stock picks Buying can be initiated in APCOTEXIND at CMP (625), add more on dips down to Rs 600, wait for the upside targets of Rs 690 and Rs 760 in the next 3-5 weeks. Place a stop-loss of Rs 580. After showing a larger range bound action over the last few months, the stock price (ACE) has shown a decisive upside breakout of the range at Rs 245 levels during this week. The stock price has also moved above the crucial overhead resistance of down sloping trend line at Rs 240 and closed higher on Wednesday. The pattern of volume and RSI indicates a further strengthening of upside momentum in the stock price ahead. Also Read: Asian stocks edge up amid China vow, countdown to Powell; Gold, Crude prices up, dollar index falls Buying can be initiated in ACE at CMP (254.30), add more on dips down to Rs 245, and wait for the upside targets of Rs 280 and Rs 307 in the next 3-5 weeks. Place a stop-loss of Rs 237. (Nagaraj Shetti is a Technical Research Analyst at HDFC Securities. Views expressed are the author’s own. Please consult your financial advisor before investing.)
2. Warren Buffett talked about his business partner Charlie Munger in his letter. He said they both think alike but what it takes Warren Buffett a page to explain, Charlie Munger sums up in a sentence. Charlie Munger’s version, moreover, is always more clearly reasoned.
The lesson for investors: “I will add to Charlie’s list a rule of my own: Find a very smart high-grade partner – preferably slightly older than you – and then listen very carefully to what he says,” Warren Buffett said.
3. Warren Buffett emphasised that his long-time business partner Charlie Munger and he are business pickers, not stock pickers. He further said that efficient markets exist only in textbooks.
“We own publicly-traded stocks based on our expectations about their long-term business performance, not because we view them as vehicles for adroit purchases and sales. That point is crucial: Charlie and I are not stock-pickers; we are business pickers,” Warren Buffett said.