Buy Bajaj Finance, ONGC, TCS: Motilal Oswal

Here are a few trading ideas from Sacchitanand Uttekar of Motilal Oswal

Nifty Outlook

 

Nifty continued its positive momentum as it reclaimed 8700. Nifty is now placed near the mean of the channel pattern & the positive crossover in the RSI indicates a move towards the upper end of the channel placed near 8750. Only a sustained move above 8750 could extend the up move towards 8900; hence long positions shall be maintained with a trail stop strategy below 8600.

 

BAJAJ FINANCE

Reco: BUY

Last Close: Rs 1121.40

Target : Rs 1200

 
Positive sector outlook & breakout from the consolidation augurs well for the secular uptrend to remain intact. Bajaj Finance could be accumulated with a trading stop below Rs 1090 & an initial target upto Rs 1200.

 

ONGC

Reco: BUY

Last Close: Rs 272.40

Target : Rs 296

 
Breakout from  the ‘Flag formation’ on the daily scale indicates an extended upmove till Rs 296. Trading longs could be added with a stop below Rs 276.

 

TCS

Reco:  BUY

Last Close: Rs 2401.1

Target : Rs 2570

 
'Bullish Engulfing’ reconfirms the support near Rs 2300 & supports the Double Bottom formation. A breach above Rs 2450 could amplify the momentum & hence longs could be added with a stop at Rs 2320 for a positional target upto Rs 2570.

 

Disclaimer: Motilal Oswal Securities ( MOSL ) is regulated by the Securities and Exchange Board of India ("SEBI") and is licensed to carry on the business of broking, depository services and related activities. MOSL is in the process of getting registered under SEBI - Research Analyst Regulations. MOSL, the spokesperson or his relatives, do not have financial interest in the securities mentioned above. The spokesperson has not served as a director, employee or officer at the subject company in the last 12 months. MOSL or its associate might be involved in market making for the subject company or have potential conflict of interest.

Sacchitanand Uttekar is an Equity Technical Analyst at Motilal Oswal Securities