Bajaj Consumer, Bata show reversal on charts; buy and hold: Vaishali Parekh

After the correction, the stock of Bata India has taken support near the trendline support zone of 1,850 and has indicated a reversal to bottom out

BUY BAJAJ CONSUMER | CMP: Rs 200.70 | TARGET: Rs 240-260 | STOP LOSS: Rs 185

The stock has witnessed a decent erosion in recent times, bottoming out near 184 zone. It is currently indicating a prominent reversal with a bullish candle pattern on the daily chart signifying strength and has potential to carry on the momentum still further upside in the coming days. The RSI also indicated a trend reversal from the oversold zone and has signaled a buy to improve the bias. We suggest to buy and accumulate this stock for an upside target of 240-260, keeping the stop loss near 185 level. CLICK HERE FOR THE CHART 

BUY BATA | CMP: Rs 2,033 | TARGET: Rs 2,250-2,300 | STOP LOSS: Rs 1,930

After the correction, the stock has taken support near the trendline support zone of 1,850 and has indicated a reversal to bottom out. It has also picked up momentum and is currently past the significant 50-EMA level of 1965 to improve the bias. This has signified strength and potential for further upside move in the coming days. The RSI also has indicated a reversal and is going strong justifying our positive bias. With the chart looking attractive, we suggest to buy and accumulate this stock for an upside target of 2250-2300, keeping the stop loss near 1930 level. CLICK HERE FOR THE CHART 

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Disclaimer: Vaishali Parekh is technical analyts at Prabhudas Lilladher. Views are personal