Nifty outlook and top trading ideas by Prabhudas Lilladher for today

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Nifty outlook and few trading ideas by Vaishali Parekh, Research Analyst - Technical Research at Prabhudas Lilladher:

NIFTY VIEW

Nifty once again closing above the 11,370 level, however, the daily trend being down, Nifty would continue to have a range bound move. The support for the day is seen at 37,600/11,360 while resistance is seen at 38,080/11,490. Bank Nifty would have a range of 27,750-28,260. With rupee at its lowest value, IT Sector as mentioned earlier would continue to do well and Pharma index getting into a new round of momentum would now show further upmove. Infy, Sun Pharma, and Auro Pharma would be the flavor of the month.

BUY RELIANCE CAPITAL    
CMP: Rs 437.25     
TARGET: Rs 485   
STOP LOSS: Rs 410

The stock has given a decent rally from the bottom made at around 335 levels and has improved the bias to signify strength for further upside movement. Currently, after a short correction, the stock has bounced back well and we anticipate a further bounce to scale till 480-490 levels in the coming days. With decent consistent volume participation witnessed, we recommend a buy in this stock for an upside target of 485 keeping a stop loss of 410.

BUY AJANTHA PHARMA     
CMP: Rs 1,168.20      
TARGET: Rs 1,270    
STOP LOSS: Rs 1,120

The stock has been consolidating for quite some time at around 1150 levels after the decent rally and currently has indicated a positive candle signify further strength and potential to carry the stock still in the upward direction in the coming days. The RSI has been improving and has indicated a trend reversal to signal a buy and with good volume activity visible, we recommend a buy in this stock for an upside target of 1270 keeping a stop loss of 1120.

Disclaimer: The analyst may have positions in any or all the stocks mentioned above.