Nifty outlook and top trading ideas by HDFC Securities for today's trade

Recommends buying Tinplate and PNB Housing Finance

Nifty outlook and top trading ideas by Devarsh Vakil & Vinay Rajani, technical analysts (PCG desk) at HDFC securities:
 
Nifty Outlook
 
Nifty has failed to surpass the crucial resistance of its previous top 9948 and turned southward. Any level below 9740 would form lower bottom and would also violate the support of upward sloping trend line on the daily charts. Far Support is seen at 9450 in Nifty. However, Close above 9925 would be considered bullish, which might pull Nifty towards new all-time highs above 10137.
 

TINPLATE - BUY
CMP: Rs 155.55
STOP LOSS: Rs 146
TARGET: Rs 175

 
In the Month of July 2017, Stock broke out from the crucial resistance of 99 with a big jump in volumes. In the Existing Month stock consolidated initially but managed to remain at highest level by the end of the Month. The recent breakout has also resulted in to ascending triangle breakout on the monthly charts. MACD on the Monthly chart is trading above its signal line and KST indicator has also turned bullish, as Gap between KST line and Signal line has widened sharply. Considering the technical evidences discussed above we recommend buying the stock between 155.55 and 150, for the target of 175, keeping SL at 146.

 
PNB HOUSING FINANCE - BUY
CMP: Rs 1,601
STOP LOSS: Rs 1,546
TARGET: Rs 1,700
 
Stock price has broken out from downward sloping channel on the daily charts. Stock price has closed above its Bollinger upper band resistance on the daily chart, indicating bullish momentum in the counter. Stock price has also given breakout from the consolidation holding for last two months. Volumes have been gradually rising along with the price rise on the short term charts. Stock price is trading above Short term, Medium Term and Long term moving averages, indicating uptrend on all time frames. Considering the evidences discussed above, we recommend buying the stock between 1601 and 1570, for the target of 1700, keeping SL at 1546.

 
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.