 "Trading ideas by Ventura Securities: Buy Tata Power, Larsen & Toubro")
BUY TATA POWER
CMP: Rs 110
TARGET: Rs 140-160
BUY AREA: (Rs 105-102)- Rs 100-( Rs 98-96)
STOP LOSS: Rs 88
Rationale: A double-bottom formation at the 52 area in September-October 2020 pushed Tata Power steadily to 115 in March 2021. Valid corrective profit-booking followed and the stock made a low of 90 in April 2021. It continued its uptrend and recently, on May 10, 2021, the stock gave a breakout to form a downward sloping trend line and gave a higher weekly close at 110, supported by volumes. The KST, Demand Index and Vortex Indicator suggest the possibility of a strong up move. The stock is trading above all averages and the 200 DMA shows a rising trend.
The stock has the strength to achieve a target of 140-160 in the coming days. If it corrects it could be added at (105-102)-100-(98-96) levels. A stop loss of 88 should be observed in the trade. CLICK HERE FOR THE CHART
BUY LARSEN & TOUBRO
CMP: Rs 1,397
TARGET: Rs 1,550- Rs 1,750
BUY AREA: (Rs 1,377-1,363)- Rs 1,352-(Rs 1,338-1,305)
STOP LOSS: 1,290
Rationale: Larsen & Toubro started its up move in September 2020 from 842, followed by a steady rise until the stock made a high of 1,593 in February 2021. A valid corrective profit-booking ensued and the stock made a low of 1,306 in April 2021. Recently, on May 10, the stock gave a breakout to form a downward sloping trend line and gave a higher weekly close, supported by volumes. The KST, Demand Index and Vortex Indicator suggest a possibility of a strong up move. It is trading above all averages and the 200 DMA shows a rising trend.
The stock has the strength to achieve a target of 1,550-1,750 in the coming days. If it corrects, it could be added at (1,377-1,363)-1,352-(1,338-1,305) levels. A stop loss of 1,290 should be observed in the trade. CLICK HERE FOR THE CHART
Disclaimer: Bharat Gala is President - Technical Research at Ventura Securities.
.
For all the Disclosures and Disclaimer on stock calls, click here
One subscription. Two world-class reads.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%