Today`s pick

Nifty, Bank Nifty, Sterlite, ITC & JP Associates

NIFTY
Current: 5,149 (futures: 5,136)
Target: NA
The index-range-traded between 5,125 and 5,200 and closed weak. Breakouts could take it till 5,250 or 5,050. Stop-loss short futures at 5,200. Stop-loss long futures at 5,100. A bearspread of long July 5,100p (94) and short 5,000p(62) costs 32 and it will gain 15-20 if the index drops below 5,100.

BANK NIFTY
Current: 10,003 (futures: 9,931)
Target: 9,775
The financial index closed a little weak and it could drop till 9,725-9,750 if the trend continues. Keep a stop at 10,075 and short. Add to the position between 9,825 and 9,875. Book profits below 9,775.

STERLITE
Current: Rs 97.5:
Target price: Rs 92
The stock could slide till it hits support at Rs 91-92 where it will consolidate. Keep a stop at Rs 101 and short. Add to the position between Rs 94 and Rs 96. Book profits below Rs 92.

ITC
Current: Rs 251;
Target price: Rs 259
The stock is testing resistance below its 52-week highs at Rs 253-254. If it breaks out past Rs 254, it could run till Rs 260. Keep a stop at Rs 247 and go long with a five-session timeframe. Add to the position between Rs 254 and Rs 256. Book profits above Rs 259.

JP ASSOCIATES
Current: Rs 71.5;
Target price: Rs 68.5
The stock has strong resistance at Rs 72-73. It could fall again to the Rs 67-68 level. Keep a stop at Rs 73 and short. Add to the position between Rs 69.5 and Rs 70.5. Book profits at Rs 68.

The target price and projected movements given above are in terms of the next one trading session, unless otherwise stated