Today's picks

Nifty, M&M, SBI, BHEL, DLF

NIFTY
Current: 5,064 (Sep Fut: 5,068),
Target: NA

The Nifty is on target to test 5,125. In the next 5 sessions, it may move till it hits multiple resistances between 5,115-5,225. Downside support is available at 5,025 and 5000. If 5,000 is broken, the index may test 4,950. Stop-loss long futures between 5,000-5,025. A bullspread of long 5,100c (108) and short 5,200c (65) costs net 43. It could gain 20-25 if the market moves till 5,125 and it has a maximum gain of 57.

M&M
Current: Rs 797
Target: Rs 830

The stock made an upwards breakout from the Rs 760 level on high volumes. It's fulfilled the minimum target of Rs 800. It could move till Rs 825-830 levels or it could see a retraction till around Rs 770. Keep a stop at Rs 790 and go long. Add to the position between Rs 805-815 and book profits above Rs 825. If Rs 790 is broken, consider a short with a stop-loss at Rs 800 and a target of Rs 770.

SBI
Current: Rs 1,980
Target: Rs 1,890

The stock has moved into an apparent downtrend after a partial recovery from the recent low of Rs 1,866. It should test support at the Rs 1,880-1,900 zone today. Keep a stop at Rs 2,010 and go short. Add to the position between Rs 1,925-1,940. Start booking profits at Rs 1,890.

BHEL
Current: Rs 1,756
Target: Rs 1,825

The stock is consolidating within a range of Rs 1,690-1,750. It could have a breakout till around the Rs 1,820 level or it could fall back till Rs 1,700. Keep a stop at Rs 1,725 and go long. Add to the position between Rs 1,780-1,800. Book profits above Rs 1,825. If Rs 1,725 is broken, the next support will be Rs 1,690-1,700, so a short is possible.

DLF
Current: Rs 199
Target: Rs 185

The stock could slide till the Rs 175-180 level on chart projections over the next 3 sessions but it also has some support at Rs 185, which could also hold. Keep a stop at Rs 205 and go short. Add to the position between Rs 190-194. Book partial profits at Rs 185 and hold the rest for a target of Rs 180.

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