outlook and few trading ideas by Vaishali Parekh, research analyst - technical research at Prabhudas Lilladher:
has managed to hold its weekly trend in positive above 11,583 while Bank Nifty has turned down its weekly trend after 8 weeks. The weightage amongst the Nifty 50 stocks is equally distributed between the positive & negative. The support for the week is seen at 37,800/11,400 while resistance is seen at 38,950/11,770. Bank Nifty would have a range of 26,880-28,050. RIL looks very promising at these levels for a target of 1,350, along with Auto stocks like Bajaj Auto, Hero and TVS.
CMP: Rs 973.70
TARGET: Rs 1,060
STOP LOSS: Rs 930
The stock has made a higher bottom formation pattern in the daily chart at around 915 levels and has given a positive bullish candle to signify tremendous strength and has got potential to rise further in the coming days. The RSI also has given a trend reversal with a steep rise and has signaled a buy. With good volume participation witnessed, we recommend a buy in this stock for an upside target of 1,060 keeping a stop loss of 930.
BUY BAJAJ FINANCE
CMP: Rs 2,744.20
TARGET: Rs 3,000
STOP LOSS: Rs 2,650
The stock has more or less formed a higher bottom formation pattern in the daily chart after correcting from the peak of 2,994 to bottom out at around 2,670 levels and currently has indicated signs of a bounce back with strength and has potential to carry on the momentum still further to scale till 3,000 levels. The RSI has shown a trend reversal after a steep fall and has now signaled a buy. The volume has been tremendous and with the chart looking attractive we recommend a buy in this stock for an upside target of 3,000 keeping a stop loss of 2,650.
BUY VA TECH WABAG
CMP: Rs 399.45
TARGET: Rs 450
STOP LOSS: Rs 374
The stock has been in a consolidation phase for quite some time at around 390 levels and has been maintaining above the significant 34WMA and 50DMA moving averages and currently has given a positive candle to indicate a breakout above the range band and has got strength and potential to give a rally from here on. The RSI is strongly poised and has maintained a positive bias. With good decent volume participation witnessed, we recommend a buy in this stock for an upside target of 450 keeping a stop loss of 374.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.