 "Buy ICICI Bank, BHEL, Vedanta: Devang Shah")
NIFTY
CLOSE- 7789.30 (11.09.2015)
Nifty closed weekly in positive territory after sharp decline of consecutive last four weeks. It failed to extend in wave-V of C as anticipated. It has completed 5 wave decline structure & achieved W=Y Equality Targets near recent lows. It has made a low of 7539.40 levels during week.
All the other Indices such as Midcap, Small cap & Bankex etc closed weekly in positive territory. CNX BANKEX has also achieved equality targets in this correction as anticipated. It made a low of 15,793 levels & started to sharply rise from these levels. One can expect this rally to continue further for the targets of 17185 levels till this low holds in short term.
Short term out look for the market remains positive till Nifty trades above 7539 levels & expecting targets in the range of 7980-8090 levels in short term. It may remain in broad range between 7539-8100 levels for some more time with high volatility of both sides in short term ahead of major event such as FED MEET, RBI Policy this month.
Whether its end of Wave-4 correction on main index & CNX BANKEX & we are heading for further new all time higher levels in uncharted territory or these rally is still part of correction as retracement pull back rally of wave- X is still not conclusive, will look for further evidences to conclude the same at higher levels, Therefore, Medium term out look for the market still keeping down.
Momentum indicators daily KST & daily MACD both are in BUY. Sustain below short term reversal levels will lead to sharp correction till 7420 levels in short term. One should be stock specific & follow the trend with till it reverses.
Stock Picks:
ICICI BANK-BUY
CMP- Rs 266.25
TGT- Rs 278/285
ICICI BANK closed weekly in positive territory. Its Daily momentum indicators are in SELL. Risk reward is favourable to BUY at current levels. It has started pull back rally after correction. One can BUY with SL-Rs 256 for the target of Rs 278/285 levels in short term.
BHEL -BUY
REC -BUY
CMP- Rs 247
TGT- Rs 258/266
REC closed weekly in Positive territory. It’s out performing in short term. Its Daily momentum indicators are in BUY. Risk reward is favourable to BUY at current levels. One can BUY with SL-Rs 241.70 for the target of Rs 258/266 levels in short term.
The author is Portfolio Manager- PRO TECH-PMS at Sharekhan
Disclaimer: The analyst may have a position in the scrip mentioned above; the views given above are the personal views of the analyst.
CLOSE- 7789.30 (11.09.2015)
Nifty closed weekly in positive territory after sharp decline of consecutive last four weeks. It failed to extend in wave-V of C as anticipated. It has completed 5 wave decline structure & achieved W=Y Equality Targets near recent lows. It has made a low of 7539.40 levels during week.
All the other Indices such as Midcap, Small cap & Bankex etc closed weekly in positive territory. CNX BANKEX has also achieved equality targets in this correction as anticipated. It made a low of 15,793 levels & started to sharply rise from these levels. One can expect this rally to continue further for the targets of 17185 levels till this low holds in short term.
Short term out look for the market remains positive till Nifty trades above 7539 levels & expecting targets in the range of 7980-8090 levels in short term. It may remain in broad range between 7539-8100 levels for some more time with high volatility of both sides in short term ahead of major event such as FED MEET, RBI Policy this month.
Whether its end of Wave-4 correction on main index & CNX BANKEX & we are heading for further new all time higher levels in uncharted territory or these rally is still part of correction as retracement pull back rally of wave- X is still not conclusive, will look for further evidences to conclude the same at higher levels, Therefore, Medium term out look for the market still keeping down.
Momentum indicators daily KST & daily MACD both are in BUY. Sustain below short term reversal levels will lead to sharp correction till 7420 levels in short term. One should be stock specific & follow the trend with till it reverses.
Stock Picks:
ICICI BANK-BUY
CMP- Rs 266.25
TGT- Rs 278/285
ICICI BANK closed weekly in positive territory. Its Daily momentum indicators are in SELL. Risk reward is favourable to BUY at current levels. It has started pull back rally after correction. One can BUY with SL-Rs 256 for the target of Rs 278/285 levels in short term.
BHEL -BUY
CMP-Rs 211
TGT-Rs 226
BHEL closed weekly in positive territory. Its Daily momentum indicators are in BUY. Risk reward is favourable to BUY at current levels. It has started pull back rally after correction. One can BUY with SL-Rs 205 for the target of Rs 226 levels in short term.
VEDANTA -BUY
CMP- Rs 97
TGT- Rs 107/114
VEDANTA closed weekly in Positive territory. It’s out performing in short term. Its Daily momentum indicators are in BUY. Risk reward is favourable to BUY at current levels. One can BUY with SL- Rs 95 for the target of Rs 107/114 levels in short term.
TGT-Rs 226
BHEL closed weekly in positive territory. Its Daily momentum indicators are in BUY. Risk reward is favourable to BUY at current levels. It has started pull back rally after correction. One can BUY with SL-Rs 205 for the target of Rs 226 levels in short term.
VEDANTA -BUY
CMP- Rs 97
TGT- Rs 107/114
VEDANTA closed weekly in Positive territory. It’s out performing in short term. Its Daily momentum indicators are in BUY. Risk reward is favourable to BUY at current levels. One can BUY with SL- Rs 95 for the target of Rs 107/114 levels in short term.
REC -BUY
CMP- Rs 247
TGT- Rs 258/266
REC closed weekly in Positive territory. It’s out performing in short term. Its Daily momentum indicators are in BUY. Risk reward is favourable to BUY at current levels. One can BUY with SL-Rs 241.70 for the target of Rs 258/266 levels in short term.
The author is Portfolio Manager- PRO TECH-PMS at Sharekhan
Disclaimer: The analyst may have a position in the scrip mentioned above; the views given above are the personal views of the analyst.