Top trading ideas by Anand Rathi Research: Buy Dr. Reddy, SBI

Nifty outlook and Top trading ideas by Jay Anand Thakkar ,CMT -Assistant Vice President - Equity Research, Anand Rathi Research:

NIFTY: BUY
TARGET 11,188 
STOP LOSS: 10,933

The Index has provided a breakout from the consolidation i.e. from a symmetrical triangular pattern with a buy crossover in its momentum indicators MACD from the zero reference line. The Index is likely to form a new life highs in this rally, hence we recommend buying Nifty for the target of 11188 with a stop loss of 10933.

DR. REDDY: BUY 
TARGET: Rs 2,420 
STOP LOSS: Rs 2,323

Dr. Reddy has provided a breakout from the downtrend line resistance with a buy crossover in its
momentum indicator MACD on the daily charts. This indicates that the wave 5 up has resumed, hence the probability of an upside is quite high.

SBIN: BUY 
TARGET: 275 
STOP LOSS: 257

SBIN seems to have completed its retracement of the five wave and now it seems to be starting another five waves rising structure. The momentum has reversed from an oversold territory as well.

MCDOWELL: SELL 
TARGET: 575 
STOP LOSS: 613

MCDOWELL has broken the symmetrical triangular pattern on the lower side with a sell crossover in its momentum indicators which is a bearish sign in the short term. The stock also seems to have started another five waves on the lower side which indicates that the trend going ahead is bearish.

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

 


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