Target: Rs 570
Stop Loss: Rs 507
Pharma has reversed well from the lower end of the falling channel and the momentum indicators too have provided a positive buy crossover which is quite positive for the short term. The minimum retracement target on the upside comes to 570; one can buy this with a stop loss of 507.
Target: Rs 1,270
Stop Loss: Rs 1,186
Infosys has provided a good breakout from an ascending triangular pattern with an increase in volumes and a buy crossover in its momentum indicators. The stock is forming higher tops and bottoms and it has been trading well in an upward sloping parallel channel, hence the probability of it reaching the upper end of the channel is quite high. SO, we recommend to buy Infosys for the target of 1270 with a stop loss of 1186.
The author is Jay Anand Thakkar, Assistant Vice President - Equity Research at Anand Rathi.
Disclaimer: He may / may not have positions in the stocks mentioned above