Today's picks

Nifty, Bank Nifty, Cairn India, BHEL & Infosys

NIFTY
Current: 5,495 (fut:5,496);
Target: NA
Nominal futures premium. The index continued to downtrend. Today, it could pull back till 5,550 or drop till 5,450 or lower, till 5,425. A bearspread of long 5,400p (41) and short 5,300p (20) could double in value if the index drops to 5,450.

BANK NIFTY
Current: 10,929 (fut: 10,932.85);
Target: 10,775
The futures premium is nominal and the financial index has broken down. There's some support at current level but a target of 10,750-10,775 is likely. Keep a stop at 11,030 and short. Add to the position between 10,850 and 10,875. Book profits below 10,775.

CAIRN INDIA
Current price: Rs 290.5;
Target price: Rs 302
Despite the oil strike, the stock couldn't beat resistance at Rs 296-297. It may test that level again and a breakout would go to Rs 302-305. Keep a stop at Rs 288 and go long. Add to the position between Rs 293 and Rs 295. Book partial profits at Rs 296 and hold the rest for a target of Rs 302 with a stop at Rs 295.

BHEL
Current price: Rs 179;
Target price: Rs 170
The stock has some support between Rs 177 and Rs 178. If that is broken, the next support is at the 52-week low of Rs 174-175 and below that, the initial target would be Rs 169-170. Keep a stop at Rs 182 and go short with a three-session timeframe. Add between Rs 176 and Rs 177. Book partial profits at Rs 174 and hold the rest for a target of Rs 170.

INFOSYS
Current price: Rs 2,766;
Target price: Rs 2,600
The stock hit a one-month low on high volumes ahead of full-year results on Friday. It has a likely downside till Rs 2,550-2,600. Keep a stop at Rs 2,830 and short. Add to the position between Rs 2,720 and Rs 2,750. Book profits at Rs 2,600.

 

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