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

There seems to be no stoppage in the downslide in spite of the indices being in the oversold on the daily chart. The sector indices too are way below the 200DMA but for IT and Pharma which too are under a threat. Bank Nifty has got in new round of selling so bias still continues to be corrective. The support for the week is seen at 32800/9850 while resistance is seen at 33870/10200. Bank Nifty would have a range of 23850-24950. The weight among Nifty 50 stocks is still absolutely tilted on corrective as 43 stocks are with the negative trend

BUY M&M    

CMP: Rs 728.20      

TARGET: Rs 825     

STOP LOSS: Rs 700

The stock has witnessed a decent correction from the 976 levels to bottom out at around levels and there is some sort of consolidation phase going on to signify strength and potential in the stock. The chart looks very attractive and with the RSI also moving around in the oversold zone, the bias and risk-reward ratio has become attractive and with good volume activity seen, we recommend a buy in this stock for an upside target of 825 keeping a stop loss of 700.

BUY BRITANNIA      

CMP: Rs 5320.50      

TARGET: Rs 5900     

STOP LOSS: Rs 5000

The stock has given a good correction from the levels of 6935 to currently show signs of bottoming out at around 5255 levels and the chart looks promising for an upside movement in the coming days. The RSI has indicated a trend reversal to signal a buy and with good volume participation witnessed, we recommend a buy in this stock for an upside target of 5900 keeping a stop loss of 5000.

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