Nifty outlook and top trading ideas from Prabhudas Lilladher for today

Nifty outlook and few trading ideas by Vaishali Parekh, Research Analyst - Technical Research at Prabhudas Lilladher.

NIFTY VIEW
 

After making the low of 10600, Nifty gave a decent bounce back to close above 10700 indicating a good recovery with positive bias and is not ready to slide down easily. The chances of retesting the previous high of 10785 levels cannot be ruled out and thereafter can reach up to 10850 levels. All eyes would be waiting for the result of ICICI Bank which would decide the forecast for the day.  However, the support for the day is seen at 10650 while resistance is seen at 10770.

BUY  MEGHMANI  ORGANICS 

CMP: Rs 112.25

TARGET: Rs 125

STOP LOSS: Rs 105

The stock has indicated a breakout above the previous peak of 107 levels and looks attractive for further more rise in the coming days with strength and potential. The stock has made a higher bottom formation pattern recently taking support at the significant 34WMA moving average and currently with the RSI on the rise and other indicators supporting for an upward bounce, the bias is quite positive. We recommend a buy in this stock for an upside target of 125 keeping a stop loss of 105.

BUY TINPLATE

CMP: Rs 222.20

TARGET: Rs 250

STOP LOSS:  Rs 212

The stock has indicated a higher bottom formation pattern in the daily chart moving above the significant 200DMA and 34WMA moving averages to signify strength and potential to carry on the momentum still further upward and can scale up to 255 levels. The RSI is showing signs of revival for a positive bias and the risk reward ratio currently is appealing. With good volume participation witnessed, we recommend a buy in this stock for an upside target of 250 keeping a stop loss of 212.

BUY BEML

CMP: Rs 1066.35

TARGET: Rs 1170

STOPLOSS: Rs 1015
 

The stock has witnessed a decent erosion from the peak of almost 1950 to bottom out at around 975 levels and it has almost formed a double bottom formation pattern in the daily chart to signify a strong base at around 975 levels. The RSI has indicated a trend reversal to signal a buy and has maintained a positive bias with decent volume activity. We recommend a buy in this stock for an upside target of 1170 keeping a stop loss of 1015.

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