Mehul Kothari suggests buying Wipro, Hindustan Petroleum; Here's why

Mehul Kothari of Anand Rathi recommends accumulating Wipro as it nears 560-570-mark

BUY WIPRO | TARGET: Rs 630 | STOP LOSS: Rs 530

Since last few weeks, the stock has been consolidating near 530-575-mark which is its potential reversal zone of bullish special gartley followed by positive divergence on 14 period daily RSI. The price action is supported with positive crossover in the daily MACD indicator. Thus, traders can buy the stock near 560-570-mark with a stop loss of Rs 530 for an upside target of Rs 630 in 3-5 weeks.

BUY HINDPETRO | TARGET: Rs 317 | STOP LOSS: Rs 260

Hind petro has formed back to back bullish candlestick pattern i.e. piercing and inverted hammer at crucial support level of 265 along with a pick up in volume. Even the daily RSI is now above 40 mark which indicates strength. Thus, traders can buy the stock near 275-280-mark with a stop loss of Rs 260 for an upside target of Rs 317 in 3-5 weeks.

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Disclaimer: Mehul Kothari is AVP – Technical Research at Anand Rathi Shares & Stock Brokers. He may or may not hold any position is the above mentioned stocks. Views are personal.