Here's why Vinay Rajani of HDFC Sec suggests to buy Zydus Life, Coal India

Among individual stocks, the technical & derivative analyst from HDFC Securities recommends to buy Zydus Life and Coal India

Nifty View

Nifty fell for the fourth consecutive session on March 14. Looking at the oversold Put-Call ratio in the Nifty, it seems that market could give pullback rally in the short term. Immediate resistance for Nifty is seen at 17,255, whereas positional resistance is seen at 17,525, with support in the range of 16,950-17,000.

BUY
Zydus Life
Last close: 469.50
Target: 495, 520
Stop-loss: 452

Stock has been holding its uptrend in the falling market. The technical setup of Zydus Life is the strongest amongst all pharma stocks. While the stock is placed above all important moving averages, indicators and oscillators exhibit strength in the current uptrend.

BUY
Coal India
Last close: 221.5
Target: 236, 243
Stop-loss: 213

The PSU sector has been outperforming for last couple of weeks. The stock price has been trading above its 20, 50, 100 and 200 DMA. Indicators and oscillators have turned bullish on the daily charts. The stock price, too, has broken out from downward sloping trend line on the weekly chart, with rising volumes.

(Vinay Rajani, Senior Technical and Derivative Research Analyst at HDFC securities. Views expressed are personal).