Benchmark indices Sensex and Nifty bounced back on Tuesday after four days of sharp decline on easing retail inflation and a rebound in global markets.Stocks that were in focus include names like Angel One, which fell 3.1% and HDFC Life, which rose 0.2% and Network18, whose shares gained 3% on Tuesday.Here's what Kushal Gandhi, Technical Analyst at StoxBox, recommends investors should do with these stocks when the market resumes trading today.Angel OneRecently, the price action of Angel One has been influenced by profit booking, resulting in a correction of nearly 35%. However, it has been observed that the stock is finding support at its fair value gap area around the 2340 level. The candlestick pattern formed during the previous trading session is a doji, which signals indecision amid the ongoing selling pressure—an encouraging sign.With the earnings per share (EPS) strength remaining notably robust and technical indicators indicating oversold conditions, in anticipation of a notable pullback we recommend purchasing Angel One with a target price of 2675, while maintaining a stop loss near 2254.HDFC LifeThe share price of HDFC Life has faced significant selling pressure, declining over 20% from its highs in October 2024. Shorter-term moving averages have become immediate resistance levels, hindering any potential price recovery, which is a concerning development.Currently, the stock is trading below the crucial 50-day moving average and 200 DMA, exhibiting a negative crossover that suggests further bearish implications. Additionally, the RSI on daily and higher timeframes is positioned below median levels with a downward trajectory, indicating a loss of positive momentum.Therefore, we advise against purchasing the stock at its current market price.Network18The current price action of Network18 suggests that it is in a distribution phase, which signals a negative trend. The stock has fallen below significant moving averages, including the 50-day and 200-day Daily and Weekly averages, and has experienced a negative crossover on the daily timeframe, indicating a continued weakening of the price trend.Furthermore, the stock demonstrates extremely poor EPS strength, price strength, and sectoral strength, leading to a lack of buying demand.Overall, the stock shows limited strength and momentum across various timeframes. Therefore, we advise against attempting to catch a falling knife at the present market price.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
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