Bajaj Finserv, Lupin, REC: Top picks by Chandan Taparia of MOFSL for today

Lupin stock has breached its previous ATH price of 10 years on the monthly chart with massive buying volumes which suggests very bullish sentiment.

Buy Bajaj Finserv | CMP: Rs 1,719 | Stop loss: Rs 1,680 | Target: Rs 1,800

A long bodied bullish candle breached its 6 month consolidation zone on the upside with higher than average buying volumes. It formed a triangle breakout on weekly scale. The MACD momentum indicator has given a bullish crossover and has turned up which confirms the up move.

Buy Lupin | CMP: Rs 2,171 | Stop loss: Rs 2,120 | Target: Rs 2,280

Stock has breached its previous ATH price of 10 years on the monthly chart with massive buying volumes which suggests very bullish sentiment. The ADX line is in a strong uptrend and the positive DI is well above the negative DI indicating the bullish trend has support.

 

Buy REC | CMP: Rs 617 | Stop loss: Rs 595 | Target: Rs 655

A Pole and Flag pattern with a breakout has appeared on the daily scale with high buying volumes to support the up move. The Relative Strength Index which measures the momentum of a stock has turned up from the centreline which indicates the stock has space to move up.

(Chandan Taparia is a senior vice president of equity derivatives & technicals, broking & distribution at Motilal Oswal Financial Services Ltd. Views expressed are his own.)