Nifty outlook and top trading ideas by Jay Anand Thakkar, CMT -Assistant Vice President - Equity Research, Anand Rathi Research.
STOP LOSS: 10750
Nifty closed in the negative territory in the last trading session and it has broken it previous swing support of 10588 levels. Now, it has started to form lower tops and lower bottoms on the daily chart which is a negative sign going forward. Now, on the upside, the resistance is pegged at 10704 levels whereas the support is pegged at 10440 levels. Below 10440 Nifty can slide till 10150 levels. The momentum indicators are in sell mode which is a negative sign as well, hence we recommend to remain in sell with a stop loss on a closing basis above 10705 levels.
AMARA RAJA BATTERY: SELL
TARGET: Rs 665
STOP LOSS: Rs 713
The stock has broken down from an expanding triangular pattern on the daily charts which is a bearish sign going forward. The momentum indicators are also in the sell mode which is again negative, hence we recommend selling it for the short term target of 665 with a stop loss of 713.
TARGET: Rs 790
STOP LOSS: Rs 832
The stock has broken down from the uptrend line support with a sell crossover in its momentum indicator MACD. The stock has started to form lower tops and lower bottoms on the weekly charts, hence we recommend selling it for the short term target of 790 with a stop loss of 832.
UNITED SPIRITS: SELL
TARGET: Rs 585
STOP LOSS: Rs 635
The stock seems to have completed five waves rise and the momentum indicator has also provided a sell crossover on the daily charts. The stock is likely to retrace 38.2% of the entire rise and those levels come to 585 levels whereas the resistance on the upside comes to 635, hence we recommend selling this stock.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.