Top trading ideas by technical analyst (PCG desk) at HDFC securities:
Buy Dr Lal Path Lab between Rs 864-840
CMP: Rs 864
Stop loss : Rs 830
Target: Rs 925
The stock has seen healthy correction of 40% from its all-time high of Rs 1260 registered in November 2016. In the current month, stock formed bullish double bottom formation at Rs 760 levels. The same level was last seen in June 2016. Oscillators on the weekly and monthly charts have exited the oversold zone. Short-term moving averages have started moving up, indicating bullish trend reversal.
Considering the technical evidences discussed above, we recommend buying the stock between Rs 864 and Rs 840, for the target of Rs 925, keeping stop loss at Rs 830.
Buy Lupin between Rs 1156-1135
CMP: Rs 1,156
Stop loss: Rs 1,120
Target: Rs 1,225
Stock has seen healthy correction of more than 50% from its all-time high of Rs 2,129 registered in October 2015. Monthly and weekly oscillators have reached extreme oversold territory. However, on the daily charts, oscillators like RSI and MACD have been developing positive divergence, which indicates that bearish momentum is exhausting. Lupin
is a bell-weather pharma stock and has rewarded its investors handsomely over the past decade. Nifty Pharma Index has been outperforming for last two months. Lupin
has surpassed the crucial resistance of Rs 20 and 50-DMA recently.
Considering the technical evidences discussed above, we recommend buying the stock between Rs 1156 and Rs 1135, for the target of Rs 1225, keeping stop loss at Rs 1120.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.