Technical Breakout Stocks: How to trade TCS, Colgate Palmolive and ITC on Thursday

Sectorally, selling was seen in utilities, power, public sector, metals and telecom stocks.

Stocks that touched fresh record highs but pared gains towards the close on Wednesday include names like which was down over 1%, which rose more than 4% and India which was down over 1%.

We have collated a list of three stocks that either hit a fresh 52-week high, or an all-time high or saw a volume or a price breakout.

We spoke to an analyst on how one should look at these stocks the next trading day entirely from an educational point of view:

Here’s what Priyanka Limaye (CA , CMT) had to say:

TCS

The stock has given a breakout on a higher time frame above 3,980-4,000 after almost three years and is now sustaining above it for the last 6 weeks.

Going forward, traders can deploy a ‘buy on dips’ strategy. Traders can look at buying the stock in the range of Rs 3,980-3,760 with a medium-term stop below 3,550 and a potential target of 4,650-4,850.

ETMarkets.com

Colgate-Palmolive India Ltd

This stock has been consolidating in a narrow band for almost 8-10 weeks. It has the potential to touch 3,000 levels in the short- to medium-term.

However, in the current scenario, it is advisable to take fresh entry only on dips towards 2,350-2,100.

ETMarkets.com

ITC

As long as the stock is holding 400 on a daily closing basis in the short term, it can retest levels above 450. Otherwise, a dip towards 350 shall be the ideal buy zone.

ETMarkets.com

(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of the Economic Times)