Nifty outlook and top trading ideas by Prabhudas Lilladher for today

Nifty outlook and few trading ideas by Vaishali Parekh, Research Analyst - Technical Research at Prabhudas Lilladher:

NIFTY VIEW:

Market is surely witnessing a euphoric move with indicators being in overbought zone, also ADX on daily chart being on up move, indicating momentum to continue. The support for the day is seen at 11,020 while resistance is seen at 11,120. PSU Banks have now got in to momentum & PSUI index is showing signs of reversal, we maintain a positive view on SBI, BOB, PNB Bank etc.

BUY PNB
CMP : Rs 185.80
TARGET : Rs 205
STOP LOSS : Rs 172

The stock has been hovering between the range of 164 and 178 levels after the correction from the peak of Rs 231 and now has indicated a breakout above that range and with the bullish positive candle pattern formation, the stock looks attractive for more further movement in the coming days with potential and strength. With good volume activity witnessed, we recommend a buy in this stock for an upside target of Rs 205 keeping a stop loss of Rs 172.

BUY DR.REDDY’S LAB
CMP : Rs 2,520.40
TARGET : Rs 2,730
STOP LOSS : Rs 2,420

The stock has been gradually moving in an uptrend after making the bottom at Rs 2,171 levels and now has given a breakout above the previous peak maintaining above the significant moving average of 34 WMA. Now the positive candle pattern indicated in the daily chart signifies strength with a positive bias to move further still upward to scale up to Rs 2,700 levels. The RSI has been positive so as is the MACD and with rising volume participation, we recommend a buy in this stock for an upside target of Rs 2,730 keeping a stop loss of Rs 2,420.

BUY DLF
CMP : Rs 259.65
TARGET : Rs 284
STOP LOSS : Rs 244

The stock has corrected from the peak of Rs 274 to bottom out at Rs 245 levels and is showing a revival with a positive bias moving above the significant moving average of 34 WMA. The RSI has indicated a trend reversal to signal a buy and with a higher bottom formation pattern in the daily chart, the stock looks attractive for further rise with strength and potential. With good decent volume participation, we recommend a buy in the stock for an upside target of Rs 284 keeping a stop loss of Rs 244.

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