Today's picks

Nifty, BankNifty, JP Associates, Wipro & RComm

NIFTY
Current: 2,833 (April future: 5,836, May: 5,861),
Target: NA
Be prepared for a 150-point swing. There’s some downside bias and supports and resistances are at 50-point intervals between 5,700 and 5,950. An April 5,800p (13) and April 5,900c (8) together cost 21 with breakevens at 5,779; 5,921 for long strangle – this is a good single-session bet. A position trader can consider (all May options) long 6,100c (40), long 5,600p (49), short 5,400p (22), short 6,300c (12). This long-short strangle combo costs 55 and yields profits beyond 5,545; 6,155 until May 26.

BANKNIFTY
Current: 11,780 (April: 11,805, May: 11,862),
Target: 11,650
The carryover trend is positive and that could keep the Bank Nifty afloat. But the chart pattern is bearish. The Bank Nifty could swing through 11,650-11,900 today and traders may exploit that wide range. Go short in May futures with a stop-loss at 11,900. Increase the position between 11,775 and 11,825 and reset the stop to 11,850. Start booking profits below 11,675.

JP ASSOCIATES
Current Price: Rs 97,
Target Price: Rs 94
The stock’s trending down on high volumes and there could be more bull unloading. Keep a stop at Rs 98.5 and go short. Increase the position between Rs 95 and Rs 96.5. Start booking profits below Rs 94.5. If the Rs 98.5 stop is broken, the stock could climb back till Rs 100.

WIPRO
Current Price: Rs 451,
Target Price: Rs 438
The stock’s on the cusp of a downside breakout after disappointing results. It could drop till Rs 435-439 if supports between Rs 449 and Rs 452 are broken. Keep a stop at Rs 455 and short. Increase the position between Rs 442 and Rs 445. Start booking profits below Rs 439.

RCOMM
Current Price: Rs 105,
Target Price: Rs 101
The stock broke a key support yesterday at Rs 105 and it could slide back till around Rs 100-101 levels today if selling pressure continues. Keep a stop at Rs 106.5 and short. Increase the position between Rs 102 and Rs 103.5 and reset the stop to Rs 105. Start booking profits below Rs 101. If the Rs 106.5 stop is broken, the stock could move back till Rs 109-110.

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