Top stock picks by Nilesh Jain of Anand Rathi: Buy HCL Tech, HDFC AMC

A fresh buy crossover can be seen on MACD indicators for HCL Tech, and RSI has reversed from the oversold territory which hints at a strong pullback in the short term

BUY HCL TECH | TARGET: Rs 880 | STOP LOSS: Rs 810

The stock is trading in a falling channel and is on the verge of a breakout from the same. It has also formed a bullish engulfing candlestick pattern on the daily chart which indicates a bullish reversal. Further, the stock is trading above its short-term and long-term moving averages. A fresh buy crossover can be seen on MACD indicators and RSI has reversed from the oversold territory which hints at a strong pullback in the short term.

BUY APL LTD | TARGET: Rs 1,030 | STOP LOSS: Rs 965

The stock has formed a bullish Harami candlestick pattern on the daily chart which is considered as a bullish reversal pattern. It has respected the earlier trend line breakout and is now indicating a fresh momentum on the higher side. The momentum indicator RSI has also reversed from its oversold territory and is showing signs of reversal which hints of further positive momentum in the counter. Besides, the stock is also trading well above its short-term and long-term moving averages. Based on the above rationale we can expect a fresh momentum in the counter.

BUY HDFC AMC | TARGET: Rs 2,750 | STOP LOSS: Rs 2,430

The stock is making a higher top and higher bottom formation on the daily chart. It also surpassed its major neckline of 2500 and is now likely to move towards 2750 levels. The momentum indicators and oscillators are in the buy mode on the weekly as well as daily scales which hints at a further positive momentum in the counter. 

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Disclaimer: Nilesh Jain is Technical and Derivatives Research - Equity Research at Anand Rathi Shares and Stock Brokers. He may have positions in one or all of the above mentioned stocks. Views are personal.