Here's why Mehul Kothari recommends to Sell Infosys, Buy Redington

According to the technical analyst from Anand Rathi, Infosys can be sold with a stop at Rs 1,630, while Redington is expected to rally to Rs 178.

SELL

Infosys

Sell Near: Rs 1,600

Target: Rs 1,540

Stop Loss: RS 1,630

Previously, the stock Infosys found resistance near Rs 1,620 level and took a dip towards Rs 1,350-mark. Currently, the stock is again trading near Rs 1,600 mark and there is reversal candlestick pattern.

There is a possibility of double top formation and hence the risk reward to go short looks attractive. Thus, we advise traders to SELL the stock near Rs 1,600 with a strict stop of Rs 1,630.

BUY

Redington

Buy Near: Rs 162

Target: Rs 178

Stop Loss: Rs 154

The stock has confirmed a major range breakout above Rs 165 mark. Even on the line chart, the breakout is confirmed and resembles a bullish Cup n Handle pattern. The price action is supported with rise in volumes.

Thus, we advise traders to buy the stock near Rs 162-mark with a strict stop of Rs 154.

(Mehul Kothari - AVP – Technical Research, Anand Rathi Shares & Stock Brokers. Views are personal).