Buy HDFC Bank, ONGC, Bharti Airtel; sell Godrej Industries: Anand Rathi

Here are a few trading ideas from Chandan Taparia of Anand Rathi for trade today:

BUY HDFC BANK: The stock surpassed the falling supply trend line and gave a price breakout on daily and weekly chart. It crossed and closed above its 50 DMA and gave the highest daily close of last twenty trading sessions. It witnessed a strong rally with its other banking peers and is now according to its current price placement it is set to continue the positive price action towards Rs 1305 and higher levels. One can buy the stock with the stop loss of Rs 1225 for the upside immediate target of Rs 1305 levels.

BUY ONGC: The stock is holding the support on closing basis above its 50 DMA and in previous session it surpassed the immediate hurdle of Rs 274 levels. It has taken support at the weekly support trend line after the decline seen on Wednesday’s trading session. One can buy the stock with the stop loss of Rs 265 for the upside immediate target of Rs 283 levels.

BUY BHARTI AIRTEL: The stock has taken support at the low made February 2016 series and is showing the signs of short term bottom formation at the lower levels. It looks attractive in terms of risk reward ratio and the positions are intact in the counter. Thus a further up move led by short covering as well as long built up cannot be ruled out. Thus recommending to buy the stock with the stop loss of Rs 295 for the upside target of Rs 318 levels.

SELL GODREJ INDUSTRIES: The stock failed to surpass the immediate hurdle at it trend line and witnessed a decline towards rRs 403 levels. It witnessed built up of short position with open interest addition of around 3% in previous session. One can sell the stock on a small bounce back move with strict stop loss of Rs 426 for the downside target of Rs 402 levels.

Disclaimer: We are suggesting these stocks to our clients but not personal holdings.

Chandan Taparia is a Derivatives Analyst - Equity Research at Anand Rathi