 "Buy Power Grid, Bajaj Auto; sell ACC, says Motilal Oswal Securities")
Here are a few trading ideas by Sacchitanand Uttekar, Equity Technical Analyst & PFA at Motilal Oswal Securities:
Nifty Outlook
Nifty closed at 8,153 and has slipped below its 200 day SMA which stands at 8,216. It opened gap-down in Thursday’s session near 8,121 owing to global news but witnessed a smart recovery back within the range of 8,150-8,280. Momentum indicator RSI is trading near neutral zone (RSI at 45) favoring consolidation within the range. Therefore, only a sustained breach outside the range could see directional momentum.
POWERGRID
Reco: BUY
Last Close: Rs 183.35
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Target: Rs 213
Positive sector outlook and breakout from the continuation pattern augurs well for the secular up move to continue. Trading longs could be added with a stop at Rs 171 and sequential targets of Rs 213-235.
BAJAJ AUTO
Reco: BUY
Last Close: Rs 2674.60
Target: Rs 2760
Proximity to 200 day EMA raises the expectation of pull-back. Stock has formed multiple bottom near Rs 2630. One can accumulate the stock with a stop at Rs 2625 and a target of Rs 2760.
ACC
Reco: SELL
Last Close: Rs 1314
Target: Rs 1255
Negative sector outlook along with “falling three pattern” on weekly basis indicates weakness to persist. Traders can initiate short in future with a stop of Rs 1340 and a target of Rs 1255.
Disclaimer: Motilal Oswal Securities ( MOSL ) is regulated by the Securities and Exchange Board of India ("SEBI") and is licensed to carry on the business of broking, depository services and related activities. MOSL is in the process of getting registered under SEBI - Research Analyst Regulations. MOSL, the spokesperson or his relatives, do not have financial interest in the securities mentioned above. The spokesperson has not served as a director, employee or officer at the subject company in the last 12 months. MOSL or its associate might be involved in market making for the subject company or have potential conflict of interest.
Sacchitanand Uttekar is an Equity Technical Analyst at Motilal Oswal Securities.