The Outperformers

March 12, 2022

We debuted a new scan recently- The Outperformers.

The Outperformers is our newest scan that pinpoints the very best stocks in the market. It’s the fastest, easiest way to find quality names that are primed for major moves.

The goal is that as the market rally progresses, the sector rotation within the market will reflect in this scan. So while our Top/Down Analysis helps us with the broader view of the market, this Bottom/Up scan makes sure that we catch the slightest change in sentiment.

Here is the list of The Outperformers that we sorted by way of relative strength. These stocks have been selected on the basis of inter-, and intra- sectoral performances. So while these belong to the sectors that are outperforming the market, these stocks are also outperforming their peers within the same sector.

Click on the chart to enlarge the view.

In our last post, we looked at Cholamandalam Investment Finance.

Let's take a look at this week's scan selection.

IT seems to be back in the mix as more and more stocks are holding on to their ground. While the sector as a whole did come under some pressure, it hasn't been as negative as earlier perceived.

Tech Mahindra is the pick this week as the price bounces off an important support zone near 1,380. Buying seems to have resumed close to these levels and the price looks like it's recovering.

While the momentum isn't in the bullish territory at the moment, it is important to note that the momentum didn't dip into the bearish territory during the sharp correction we witnessed in January.

We are bullish on Tech Mahindra above the risk management level of 1,380 with a target close to 2,015.