In the previous session, the market witnessed the corrections but managed to close on a positive note. The Nifty index opened positive but soon slipped into negative territory. However, in the last trading hour, the market gradually recovered from its low and closed with a net gain of 42.20 points. The Nifty Index formed a Hammer candle pattern on the chart which indicates bullishness for the next trading day. Hence, we recommend continuing to approach the markets in a stock-specific way.

Look at the below research report of ‘Stocks to Buy for – Monday, July 05, 2021’ before the market opens.

Dr Lal Pathlabs Ltd

NSE :LALPATHLAB   BSE :539524  Sector : Healthcare

In the daily time frame, the stock is moving in the form of a ‘Megaphone Pattern’. The pattern consists of minimum two higher highs and two lower lows. When the price moves outside the pattern, a breakout is confirmed. After showing an 8% upside moment on 10^th June stock was consolidated between 3300-3100 levels which creates a Megaphone pattern on the chart. As shown on the graph Dr Lal Path labs Ltd. share prices made high near 3360 levels and are closed near the resistance line of pattern. A break above this resistance zone will confirm the breakout.

In the daily chart we have shown the ADX indicator, which shows the strength of the trend. We can see +DI is above –DI and ADX is placed near 44 which indicates strong positive momentum in the trend.

In short, the trend for Dr Lal Path labs Ltd is bullish. Positions can be created above previous day high i.e., above 3360 levels, which can take prices towards 3450 and 3500 levels. This view is valid as long as 3250 stays protected on downside.

Check More Analysis on LALPATHLAB at: Dr Lal Pathlabs Ltd