I had bought shares of Infosys at ₹1,470. What is the outlook? Should I continue to hold or sell?
Sitara
Infosys (₹1,902.75): The trend is still up. Within that the stock has been consolidating between ₹1,700 and ₹2,000. Strong support is in the ₹1,800-₹1,700 region. As long as the stock trades above this support zone, the outlook will remain bullish. As such the chances are high to break above ₹2,000 eventually.
Such a break can take Infosys share price up to ₹2,300-₹2,400. You can keep a stop-loss at ₹1,680 and hold the stock. Revise the stop-loss up to ₹1,960 when the price goes up to ₹2,100. Move the stop-loss up to ₹2,180 when the price touches ₹2,250. Exit the stock at ₹2,300. The bullish view will go wrong only if the stock declines below ₹1,700. If that happens, a fall to ₹1,600-₹1,500 can be seen.
As per your advice, I sold half of my holdings in Babeque-Nation Hospitality at around ₹600 and booked loss. Shall I buy more and average at current levels?
Mangesh Sri
Barbeque-Nation Hospitality (₹315.70): We had suggested to exit the stock in May 2023 in this column when the stock was trading around ₹636. At that time, we had insisted the importance of having stop-loss also. The advice was based on two major factors. One, the outlook was bearish.
Secondly, your purchase price was much higher at around ₹1,200 and we were not expecting a strong bounce. The price has now tumbled further since then. The trend is down and strong. Resistance is at ₹385. There is a danger of the stock tumbling to ₹120. So, accumulating at current levels will not make sense. Exit and accept the loss.
I have Mankind Pharma shares bought at ₹1,080. When can I add to my existing position?
Kirti Nagda
Mankind Pharma (₹2,518.40): The long-term trend is up. Within that, the stock is in a corrective fall. The stock can fall to ₹2,250 on a break below ₹2,400 from here. After this fall, a fresh leg of rally can begin. That can take Mankind Pharma share price up to ₹3,200 over the next couple of years. You can sell 20 per cent of your holding now and book some profit.
Use this sale proceeds to buy more at ₹2,300. Keep a stop-loss at ₹2,140 for the entire holding. Move the stop-loss up to ₹2,450 as soon as the stock goes up to ₹2,700. Move the stop-loss further up to ₹2,850 when the price touches ₹2,980. Exit the stock at ₹3,150.
What is the outlook for Happiest Minds Technologies? Can I sell the share?
Pawan Kaushik
Happiest Minds Technologies (₹681.15): The stock is in a downtrend. The share price has been falling gradually. Cluster of resistances are there in the ₹715-₹765 region. Any rise from current levels will be capped. Ideally, the stock has to rise past ₹850 to indicate a trend reversal and become bullish. That looks unlikely.
Happiest Minds Technologies share price can fall to ₹610-₹600 from here. You have not mentioned your buy price. Whatever it is, there is no point in holding on to this stock. So, exit the stock now. You can consider reinvesting the sale proceeds in some other stock. Maybe you can consider Mankind Pharma on dips and follow the strategy explained in the previous query.
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