Nifty outlook and top trading calls from Jay Anand Thakkar, CMT -Assistant Vice President - Equity Research, Anand Rathi Research:
STOP LOSS: 10,910
Nifty seems to be consolidating in a regular flat pattern in its wave IV and once that is completed a wave V up will ensue. On the lower side, 10,910 is a crucial support hence one can buy with that as a stop loss for the target of 11,065 which is just below the recent swing high. The momentum indicators are well into the buy mode, thus increasing the probability of an upward breakout in its wave V
BUY CAN FIN HOMES
TARGET: Rs 354
STOP LOSS: RS 320
CANFINHOMES has formed a falling wedge pattern i.e. an ending diagonal pattern after a substantial fall. The momentum indicators on the daily charts are well in the buy mode with a positive divergence which is quite positive for the bulls in the short term.
TARGET: Rs 1,585
STOP LOSS: Rs 1,450
Cholafinance has formed a triangular pattern on the daily charts and the wave E of the same seems to have gotten over, hence we recommend to buy this as the momentum indicators too have provided a buy crossover.
TARGET: Rs 47.45
Idfc has formed a falling wedge pattern which is a bullish reversal pattern. The pattern is formed after a substantial fall; hence the probability of an upside increases. The momentum indicator is well in the buy mode, so recommend to buy IDFC.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.