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

The market in all-time high at 11,700 levels, we now have a resistance target of 11,800-11,900 with RSI in overbought, is going to be a very cautious zone, whereby strict trailing stop loss should be the strategy with Bank Nifty yet to breach the previous high & have a projected target of 29,700-30,000. The support for the day is seen at 38,450/11,620 while resistance is seen at 38,900/11,750. Bank Nifty would have a range of 28,000-28,520. Banks like Axis, ICICI, SBI, Kotak, and IndusInd have got in momentum.

BUY TATA SPONGE   

CMP: Rs 920.55      

TARGET: Rs 1,040       

STOP LOSS: Rs 870

The stock has been consolidating between the range 870 - 885 and currently has produced a positive bullish candle pattern moving above the significant 34 WMA moving average to signify strength and has potential to rise further in the coming days. The RSI also has been on the rise from the oversold zone and has maintained a positive bias. With good volume participation witnessed, we recommend a buy in this stock for an upside target of 1040 keeping a stop loss of 870.

BUY HERITAGE FOODS   

CMP: Rs 634.20     

TARGET: Rs 710       

STOP LOSS: Rs 595

The stock has consolidated around 600 levels for quite some time and now recently the stock has been showing positive signals moving above the significant 34 WMA and 50 DMA moving average to signify strength and we anticipate the stock to carry on the momentum still further upside. The MACD, as well as the RSI, has improved indicating a positive bias and with the chart looking attractive, we recommend a buy in this stock for an upside target of 710 keeping a stop loss of 595.

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