Buys Abound in India -- Here's Two to Start With - TheStreet

India has been the "other" great economic story to emerge out of Asia in the past five years, but it has often been overshadowed by the spectacular growth of China. It's time to revisit the Indian market and look for opportunities.

Few traders have paid India much attention lately, as the Bombay SENSEX Index has spent the better part of the year consolidating after the peak in January. The SENSEX recently broke out over resistance and has moved out to new highs. This market is going back on the offensive after working off some of the excesses created in 2006, and we would expect it to carry through to the upside in the coming months.

The bursting of the bubble in the Shanghai index may actually help the Indian market as foreign capital steers clear of China for the time being and follows the momentum in the India exchange.

There are several Indian stocks that trade domestically in the U.S. Most of them are found in the technology sector -- since outsourcing of programming and technology services has taken off in India -- and the financial sector.

One name that looks interesting at this level is

Icici Bank

(IBN) - Get Report

, which is one of the largest banks in India. IBN has rallied right along with the SENSEX and recently broke through resistance to make a new high.

The stock formed a bullish intermediate-term consolidation during the first half of this year, and there is significant support on the chart at $47. IBN can be bought here as we look for the primary uptrend to put in another leg to the upside.

Another interesting Indian name is

Satyam Computer Services

( SAY). Satyam is a provider of outsourced IT services. The stock has only recently broken out to the upside and is in an excellent spot to be bought.

SAY is also emerging from an intermediate-term consolidation that formed in the first half of the year. This consolidation should provide some significant support at the $25.50 level. A break below support at $24 would signal a bearish change in this name, and we would use this level as a stop. Get long here and look for another leg to the upside in the coming weeks.

India should continue to be a strong growth opportunity for investors through the end of the year. The international rally isn't showing any signs of abating just yet, and the recent breakout and rally in the India market may move the SENSEX back to the forefront of traders' minds in the coming months.

At the time of publication, John Hughes and Scott Maragioglio had no positions in the stocks mentioned. Hughes and Maragioglio co-founded Epiphany Equity Research, which has developed and utilizes proprietary tools to identify and track liquidity changes in the market indices and sectors. Hughes advises numerous asset managers, hedge funds and institutions managing in excess of $30 billion. Maragioglio is a member of the market technicians association (MTA) as well as The American Association of Professional Technical Analysts (AAPTA) and holds a Chartered Market Technician (CMT) designation. Maragioglio has also served on the board of directors of the AAPTA.