Top trading ideas by Mehul Kothari: Buy Escorts, Maruti Suzuki

Maruti's stock has sneaked below its 200 DEMA but, on the weekly scale, it has tested its 200 week EMA which is a much stronger support

BUY ESCORTS | TARGET: Rs 1,190 | STOP LOSS: Rs 1,070

The stock ESCORTS has corrected from the top of over 1,400 to the recent bottom near 1,100-mark. This has brought the stock under oversold zone in smaller time frame. At this juncture, the stock is trading near the potential reversal zone of a bullish harmonic patterns called 'Butterfly'. For a medium-term trader, this could be a perfect price to go long with a time frame of 2 – 4 weeks. Thus; traders are advised to buy the stock in the range of 1,120 - 1,100 with a stop loss of