Buy HDFC for a target of Rs 2170, SL of Rs 1950: Prabhudas Lilladher

Nifty outlook and few trading ideas by Vaishali Parekh, research analyst- technical research at Prabhudas Lilladher.

NIFTY VIEW

Nifty faces resistance at 10930 since 3 consecutive days. The market continues with its range bound movement with a lull in sectors. RIL continues to do well post results now giving good potential targets & also being a catalyst for Nifty while Sun Pharma turns to be a disappointment. The support for the week is seen at 35800/10720 while resistance is seen at 36880/11070. IT sector has been showing good momentum along with mid-cap IT Sector. Bank Nifty would have a range of 26850-27980.

BUY KOTAK MAHINDRA BANK   

CMP: Rs 1,240.20      

TARGET: Rs 1,380      

STOP LOSS: Rs 1,190

The stock has more or less made a higher bottom formation pattern in the daily chart to take support at near 1200 levels which is also where the 50DMA lies and has indicated a decent turnaround to make the bias positive and has the strength to rise further with the same momentum in the coming days. The indicators have become favourable and with the RSI also indicating a trend reversal to signal a buy, we recommend a buy in this stock for an upside target of 1380 keeping a stop loss of 1190.

BUY HDFC LTD     

CMP: Rs 2,006.85      

TARGET: Rs 2,170      

STOP LOSS: Rs 1,950

The stock has been consolidating for quite some time gathering strength and is on the verge of a breakout to signify fresh upward movement in the coming days. The chart looks attractive and with favourable indicators supporting, the stock is poised for an upmove. With decent volume participation witnessed, we recommend a buy in this stock for an upside target of 2170 keeping a stop loss of 1950.

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