Today's picks
Nifty, Bank Nifty, Jindal Steel & Power & Hero Motors
Current: 5,971 (fut: 5,976);
Target: NA
Futures premium is nominal. Use support at 5,925 as a stop-loss for long trades and resistance at 5,975 as the stop loss for shorts. Breakouts could go till 5,875 or 6,025. The short term looks bullish. A bullspread of long 6,100c (38) and short 6,200c (16) could double if the index hits 6,050.
Bank Nifty
Current price: 12,396 (futures: 12,372);
Target price: 12,675
The financial index ended flat, bouncing from support at 12,200. It could rally till 12,675-12,725. Keep a stop at 12,200 and go long. Add to the position between 12,450 and 12,475. Book profits above 12,675. If it falls below 12,180, the index could dive till 12,050.
Jindal Steel & Power
Current price: Rs 327;
Target price: Rs 340
If the stock clears resistance at the current levels, it could run till Rs 340-345. Keep a stop at Rs 320 and go long. Add to position between Rs 329 and Rs 334. Book profits above Rs 340.
Hero Motors
Current price: Rs 1,649;
Target price: Rs 1,610
The stock is hitting heavy resistance. It could react down to Rs 1,600-1,610. Keep a stop at Rs 1,665 and short. Add to the position between Rs 1,630 and Rs 1,640. Book profits below Rs 1610. If Rs 1,665 is broken, a rise till Rs 1,685 is possible.
The target prices and projected movements given above are in terms of the next one trading session, unless otherwise stated