Here's why Vinay Rajani is bullish on Dr Reddy's, Oracle Financial Services

As per the technical analyst, the Budget session high of 17,973 and low of 17,353 have become crucial levels to watch out for any directional move in the Nifty index

NIFTY VIEW

The Nifty index continued to remain in the congestion zone by falling 50 points to close at 17,721 on Tuesday. It is currently consolidating between its 50 days and 200 days EMA. Union Budget session high of 17,973 and low of 17,353 have become crucial levels to watch out for any directional move in the index.

BUY Dr Reddy's

Target: Rs 4,650 | Stop-loss: Rs 4,285

The stock price has broken out from the consolidation, which it held for the last two weeks. It rose more than 2 per cent on Tuesday on a significant jump in volumes. Indicators and oscillators like DMI, MACD and RSI have turned bullish on the daily charts

BUY Oracle Financial Services Software (OFSS)

Target Rs: 3,325 | Stop-loss: Rs 3,086
 

The stock price has surpassed the crucial resistance of 200 days EMA, which is placed at Rs 3,171. It has started forming higher tops and higher bottom on the daily chart. 50 days EMA is in the rising mode. Indicators and oscillators have turned bullish on the daily time frame.

_________________________________________

(Vinay Rajani, Senior Technical and Derivative Research Analyst at HDFC securities. Views expressed are personal).