Trading ideas from Chandan Taparia of Anand Rathi

Here are a few trading ideas from Chandan Taparia of Anand Rathi

ASHOK LEYLAND: BUY
STOPLOSS: Rs 84
TARGET: Rs 92

It has recently turned from multiple support of 81-82 zones and moving upwards from last four trading sessions. It has been consolidating in a trading range of 81 to 99.65 from last five months and looks attractive at current levels as turning from lower band of the trading range. Major trend of the stock is positive and on immediate basis till it holds above 84 zones it has potential to head towards 92 and 94 zones. One can buy the stock with stop loss of Rs 84 for the upside target of Rs 92 levels.

 

BIOCON: BUY
STOPLOSS: Rs 477
TARGET: Rs 517

The stock crossed and closed near to its immediate hurdle of 499-500 zones after the consolidation of last six trading sessions. Its support base is shifting to higher levels and is holding above its 50 DMA. It negated the pattern of making lower top- lower bottom of last three weeks and is now showing the potential to move towards 512 and higher levels. In the December month it started its up move after the price breakout of 475 zones and recently the same level is acting as a strong support which has a bullish implication. Thus recommending buying the stock with the stop loss of Rs 477 for the upside target of Rs 517 levels.

EXIDE INDUSTRIES : SELL
STOPLOSS: Rs128
TARGET: Rs 117

The stock has been continuously witnessing selling pressure from last four weeks and making lower highs - lower lows price formation. However, it tried to cross its hurdle of 128 levels but failed which indicates further weakness in the stock. It is now just 3-4 points away from its 52 weeks low levels and has been witnessing built up of short position even at current levels. One can sell the stock on bounce back move with stop loss of Rs 128 for the downside target of Rs 117 levels.
 
BHEL: SELL

STOPLOSS: Rs 146.50
TARGET: Rs 136

It is continuously is in bear grip and not giving any meaningful sign of recovering. Recently, it failed to hold above its hurdle of 150-151 zones and fell back in the bears grip with rising selling pressure. It has been making lower top – lower bottom formation and fresh Call writing at 145 and 150 strikes also support our negative view on the counter. One can sell the stock with stop loss of Rs146.50 for the downside target of Rs136 levels.
 
Disclaimer : We are suggesting all these stocks to our clients but no personal holdings.

Chandan Taparia is a technical analyst with Anand Rathi