Nifty has taken support on its 100-DMA (day-moving average) and managed to close above 11,550. Any close below 11,500 would resume the downtrend which could push Nifty towards 200-DMA level of 11,110. However, trend would be considered bearish unless Nifty closes above 11,800.
CMP: Rs 245
Stop-loss: Rs 235
The stock has partially filled the gap which was formed in the range of 225-241 registered in Dec 2017. This gap could act as a bullish reversal point. Oscillators have been forming positive divergence on the daily charts, indicating stock is getting accumulated on the dips.
Considering the technical evidences discussed above, we recommend buying the stock at CMP (current market price), for the target of Rs 260, keeping a stop loss at Rs 235 on closing basis.
CMP: Rs 786
Target: Rs 825
top-loss: Rs 760
The stock has been forming higher tops and higher bottoms on the daily charts. It is placed above all important moving average parameters. Indicator and Oscillator setup is bullish on the daily and weekly charts.
Considering the technical evidences discussed above, we recommend buying the stock at CMP, for the target of Rs 825, keeping a stop loss at Rs 760 on closing basis.
The author is a research analyst working with HDFC Securities. Views expressed are his own.