In the previous session, the Nifty Index closed with a net loss of 179.35 points. Due to global weakness the Nifty index saw a gap down opening in the morning and extended losses as the day progressed.  However, in the last trading hour we have seen some recovery in the Nifty Index. Technically, the Index formed a Doji candle on the chart. The market has been showing a stock specific movement. Hence, the selective stock approach method is advisable for the next trading day. Use a trailing Stop loss to protect your profit at higher levels.

Look at the below research report of ‘Stocks to Buy for – Friday, January 07, 2022’ before the market opens.

Aditya Birla Fashion & Retail Ltd

NSE :ABFRL   BSE :535755  Sector : Retail

In the daily time frame, ABFRL share prices are moving in the form of Impulse wave pattern. As per Elliott wave theory, there is a clear impulse rise as shown on the daily chart and the stock is currently moving in the form of wave 3. At that point stock is expected to resume its upside gain. As per candle technique, A bullish Engulfing pattern appeared on the daily chart. We have plotted Parabolic SAR on the chart. The Parabolic dots are moving below the prices which indicates that stock is now in uptrend. This indicator is most useful in terms of Entry and Exit levels in any stocks for trading purposes.

As the chart looks attractive, one can initiate buy and accumulate this stock near current levels. Add more on dips around 270 levels. If we take projection of Fibonacci retracement then there is a possibility of seeing the target of 320 level as long as we do not see any closing below 260 levels.

Check More Analysis on ABFRL at: Aditya Birla Fashion & Retail Ltd