On stocks to buy tomorrow, Ruchit Jain recommends two stocks - Tata Steel Ltd and Pidilite Industries Ltd.
Tata Steel Ltd
Ruchit stated that the stock has been forming a ‘Higher Top Higher Bottom’ structure and is thus in an uptrend. The recent price-up move has been supported by good volumes, whereas the volumes on corrections are low, which is a positive sign. Stock has bounced from its 89 DEMA support and is hinting at buying interest by market participants on corrections. Hence, positional traders can look to buy the stock in the range of ₹147–142 for potential targets of ₹156 and ₹164. The stop loss on long positions should be placed below ₹138.
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Pidilite Industries Ltd
Jain explained that prices have shown a relative outperformance in the recent past as it outperformed the broader market in the corrective phase. The RSI oscillator is hinting at positive momentum, and hence, we expect the uptrend in the stock to continue. Traders can look to buy the stock around ₹2,920 and add on dips towards ₹2,850. The potential targets for the stock are seen around ₹3,020 and ₹3,150, while stop loss on long positions should be placed below ₹2,800