Nifty outlook and top trading ideas by Jay Anand Thakkar of Anand Rathi

Till 11,950 is held on the Nifty, one can maintain the long positions however if it breaks one has to reverse the longs to shorts

NIFTY: BUY | TGT: 12,150 | SL: 11,950

Nifty closed in the negative territory after yesterday’s bounce back; however, it has still managed to close above 12,000 levels which is a positive sign in the short-to-medium term. The only worry is that the Index has formed a bearish head and shoulders structure on the hourly charts which indicates that once 11,950 levels get broken it will lead to a sharp sell-off till 11850-11800 levels. So, till 11,950 is held one can maintain the long positions however if it breaks one has to reverse the longs to shorts.

INFOSYS: BUY | TGT: Rs 745 | SL: Rs 699

The stock has provided a breakout from the triangular pattern formed on the daily charts and it seems that with this breakout it will fill the downside gap. The support is pegged at Rs 699 whereas the resistance is Rs 745 which is the short-term target as well.

ADANI ENTERPRISES: SELL | TGT: Rs 190 | SL: Rs 214

The stock seems to have completed a five wave rising structure and the three wave corrective pattern seems to have started. The minimum equality target of wave C on the lower side is Rs 190; hence, one can sell it with a stop loss at Rs 214. The daily as well as hourly momentum indicator MACD is in the sell mode with a negative divergence.

APOLLO HOSPITALS:  BUY | TGT Rs 1,540 | SL: Rs 1,440

The stock has provided a breakout from the triangular pattern that is formed on the daily charts which is absolutely positive for the stock in the short-to-medium term. The momentum indicator MACD is well in the buy mode.
Disclaimer: Author may or may not have positions in the above mentioned stocks