Nifty outlook and top trading ideas by Prabhudas Lilladher for today

Nifty outlook and few trading ideas by Vaishali Parekh, Research Analyst - Technical Research at Prabhudas Lilladher:

NIFTY VIEW:

Indices continue to make new high, however also the Volatility index is on rise with RSI on daily & weekly chart in overbought zone which surely calls for a word of caution. The support for the day is seen at 10900 while the resistance would be at 11020 levels.

BUY CG POWER
CMP: Rs 96.40
TARGET: Rs 106
STOPLOSS: Rs 90

The stock has been in an uptrend for the past 3-4 weeks and now has indicated more or less a higher bottom formation pattern in the daily chart to signify potential and strength to carry on the momentum still further in the coming days. The RSI has shown a steep rise to indicate a positive bias and with decent volume activity witnessed, we recommend a buy in this stock for an upside target of Rs 106 keeping a stop loss of Rs 90.

BUY RBL BANK
CMP: Rs 530.65
TARGET: Rs 575
STOP LOSS: 515

The stock has corrected from the recent peak of Rs 550 to bottom out at around Rs 516-518 levels and is consolidating over there to gather potential and now with a positive candle pattern in the daily chart, a positive bias has been indicated and also a closing above the 200 DMA signify strength to rise further in the coming days. With RSI showing a trend reversal and good volume participation, we recommend a buy in this stock for an upside target of Rs 575 keeping a stop loss of Rs 515.

BUY  VA TECH WABAG
CMP: Rs 638.10
TARGET: Rs 710
STOP LOSS: Rs 610

The stock has been in a consolidation phase for quite some time hovering between the range of Rs 610 and Rs 632 and now has indicated a breakout above that range and also above the significant 200 DMA to show potential and strength to rise further with a positive bias. The indicators like RSI has been positive showing a trend reversal to signal a buy and also the MACD has shown a positive momentum to make the stock look attractive. With good volume activity witnessed, we recommend a buy in this stock for an upside target of Rs 710 keeping a stop loss of Rs 610.

Disclaimer: The analyst may have positions in any or all the stocks mentioned above.