Nifty outlook and few trading ideas by Vaishali Parekh, Research Analyst - Technical Research at Prabhudas Lilladher:
Nifty took a breather at around 10950 levels after the rally from around 10550 levels while Bank Nifty faced resistance at around 26940 levels and witnessed some profit booking. Bank Nifty need to break the barrier of 27000 levels for any fresh upward movement. With the ongoing result season of heavyweight stocks and weak global cues, much volatility is anticipated in the indices. However, the support for the day is seen at 10880 while the resistance would be at 11020 levels.
BUY PIDILITE INDS
CMP: Rs 1,085.20
TARGET: Rs 1,170
STOP LOSS: Rs 1,040
The stock has been more or less in a consolidation phase making a round bottom formation and currently has indicated a positive candle and is almost on the verge of a breakout above the significant 50 DMA moving average to signify strength and potential to give a bounce from here on in the coming days. With the RSI on the rise, the bias has been maintained positive and with good volume participation witnessed, we recommend a buy in this stock for an upside target of 1170 keeping a stop loss of 1040.
CMP: Rs 378.70
TARGET: Rs 410
STOP LOSS: Rs 366
The stock has formed a higher bottom formation pattern in the daily chart forming a good base at around 369 levels and has indicated a revival to signify strength and potential to give a rise from current levels. The RSI has indicated a trend reversal to signal a buy and has improve the bias. With consistent volume activity visible, we recommend a buy in this stock for an upside target of 410 keeping a stop loss of 366.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.
First Published: Thu, July 12 2018. 07:15 IST