Technical calls for today's trade: Buy Apollo Tyres, Hindalco and Arvind

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

 

NIFTY VIEW:

 

Nifty witnessed some profit booking but for the time being 9,815 seems to be acting as the support. As of now, the trend is in a corrective mode and unless Nifty bounces back and sustains above 9,920, we cannot confirm that market has bottomed out at 9,800 levels. However, the support for the day is seen at 9,825 while resistance is seen at 9,920.

 

ARVIND - BUY     

CMP: Rs 370.05      

TARGET: Rs 405     

STOP LOSS: Rs 354

 

The stock has witnessed a steep correction from the peak of 418 and has made a bottom at 360 level where it has a very strong support and now has produced a positive candle pattern in the daily chart to signify potential and strength for further upward move. The RSI indicator has hit the oversold zone and has made a revival move to indicate a positive bias. With good volume participation witnessed, we recommend a buy in this stock for an upside target of 405 keeping a stop loss of 354

 

APOLLO TYRES - BUY     

CMP: Rs 248      

TARGET: Rs 272     

STOP LOSS: Rs 236

 

The stock has a short correction and has made a pattern of bottoming out at around 243 levels and has indicated a positive candle formation in the daily chart. We anticipate the stock to make a good revival from here on and move upward to scale near to the previous peak of 268 level. The stock looks attractive and with decent volume activity seen, we recommend a buy in this stock for an upside target of 272 keeping a stop loss of 236

 

HINDALCO - BUY     

CMP: Rs 234.60      

TARGET: Rs 252      

STOP LOSS: Rs 222

 

The stock has made a small correction and now has indicated a revival move to make a higher bottom formation pattern in the daily chart. We anticipate the stock to have potential to move up still further with strength and scale up to the previous peak level of 255 in the coming days. With good decent volume activity witnessed in the stock, we recommend a buy in this stock for an upside target of 252 keeping a stop loss of 222

 

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