Nifty continues to sustain above 11,500 levels with a positive bias. Many frontline stocks are getting in new price territory such as TCS. Support for the day is seen at 38,650/11,630 For Sensex and Nifty, respectively, while resistance is seen at 39,170/11,760. Bank Nifty would have a range of 29,820-30,400. Auto, IT, Bank Sector continue to show strength. Auto ancilliaries, too, are now gaining strength. We have a positive view on Bharat Forge, Exide, Motherson Sumi, etc.
CMP: Rs 226.25
TARGET: Rs 280
STOP LOSS: Rs 200
The stock has been consolidating for a while as it is hovering around the range of Rs 205- Rs 225 levels and has maintained a good support at near Rs 200 level. It has been in a trending upward move on the daily chart. The relative strength index (RSI) has been on the rise and with favourable indicators supporting our view, the chart looks very attractive. With good volume participation witnessed, we recommend a buy in this stock for an upside target of Rs 280 keeping a stop loss of Rs 200.
BUY MAHINDRA & MAHINDRA
CMP: Rs 683.20
TARGET: Rs 750
STOP LOSS: Rs 630
The stock has been consolidating at around Rs 650- 680 levels and currently, it has produced a positive bullish candle pattern on the daily chart to signify strength and potential to rise further in the coming days.
It has given a close above 34 WMA & 50 DMA which is significant. The RSI indicator also has confirmed the buy signal with a trend reversal. We anticipate this stock to rally upto Rs 750 levels. We recommend a buy in this stock keeping a stop loss of Rs 630.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.