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Stock recommendation by Prabhudas Lilladher: Buy M&M, Motherson Sumi

The stock of Motherson Sumi has formed a decent base near 102 levels, almost making a double bottom pattern, and has currently given a spurt to indicate strength

Topics
Stock calls | trading ideas from Prabhudas Lilladher | Market technicals

Vaishali Parekh  |  Mumbai 

The stock of M&M has recently corrected, taking support near 590 levels
The stock of M&M has recently corrected, taking support near 590 levels

BUY MOTHERSON SUMI | CMP: Rs 110.45 | Target: Rs 130-135 | Stop Loss: Rs 100

The stock has formed a decent base near 102 levels, almost making a double bottom pattern, and has currently given a spurt to indicate strength. The improved bias suggests for further upside movement in the coming days. The RSI has also indicated a trend reversal to signal a buy and with the chart looking attractive. We suggest to buy and accumulate the stock for an upside target of Rs 130-135, keeping the stop loss near Rs 100 levels.

BUY M&M | CMP: Rs 625.15 | Target: Rs 680 | Stop Loss: Rs 585

The stock has recently corrected, taking support near 590 levels. It has witnessed momentum pick-up to improve the bias with positive bullish candle pattern, hinting at further upside move in the coming days. The RSI indicator also has shown a trend reversal to make the chart look attractive. We suggest to buy and accumulate this stock for an upside target of Rs 680, keeping the stop loss of Rs 585.


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Disclaimer: The author is an analyst with Prabhudas Lilladher. She may have positions in one or more stocks mentioned above. Views are personal.

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First Published: Mon, October 26 2020. 08:22 IST
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