Chart Check: BEML, Cummins India, UPL, Kaveri Seed

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


BUY BEML: The stock gave a consolidation breakout after having been bottomed out and crossed its hurdle of Rs 970 levels. It gave the highest daily close of last seventy two trading sessions. It has taken support at its 50 DMA and snapped the losses of last three weeks. Thus one can buy the stock with the stop loss of Rs 945 for the upside immediate target of Rs 1012 levels.

 

BUY CUMMINS INDIA: The stock has been making higher highs – higher lows from last four trading sessions and surpassed the hurdle of Rs 890 zones and continued rising higher. It is now at its 12 weeks high levels and surpassed its 50 weekly moving average. It gave the highest daily close of last since 5th May, 2016. Thus recommending to buy the stock with the stop loss of Rs 855 for the upside immediate target of Rs 910 levels.

 

BUY UPL: The stock has taken support and surpassed its hurdle of Rs 575 levels. The up move in the stock was led by short covering activities and has bottomed out after the recent decline witnessed in previous series. The stock looks attractive in terms of risk reward ratio and showing the potential to head towards Rs 602 and higher levels. Thus recommending to buy the stock with the stop loss of Rs 562 for the upside immediate target of Rs 602 levels.

 

SELL Kaveri Seed: The stock failed to surpass its Rs 455 levels and started to decline with built up of short position. It broke its support of Rs 405-400 levels and has been making lower top –lower bottom formation from last seven weeks. It failed to recover with the strong up move seen in the broader market indicating weakness in the counter. So, one can sell the stock with the stop loss Rs 402 for the downside immediate target of Rs 378 levels.   

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

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