Stock calls by Anand Rathi: Buy Aurobindo Pharma, FLFL, Ultratech Cement

Nifty outlook and top trading ideas by Jay Anand Thakkar, CMT - Assistant Vice President - Equity Research, Anand Rathi Shares, and Stock Brokers.

NIFTY: SELL 

TARGET: 11,550 

STOP LOSS: 11,750

Nifty was deep into negative territory on the F&O expiry day indicating that the trend is still negative to sideways. The index has reversed from the 78.6 per cent retracement of the previous fall; hence this bounce is a wave B bounce and wave C down is expected now. The minimum target on the lower side comes to 11,550 levels whereas the resistance is pegged at 11,750 levels.

AUROBINDO PHARMA:  BUY 

TARGET: Rs 830 

STOP LOSS: Rs 780

The stock has provided a breakout from a symmetrical triangular pattern and the momentum indicator moving average convergence divergence (MACD) is well into buy mode on the daily, weekly as well as monthly charts.

FUTURE LIFESTYLE:  BUY 

TARGET: Rs 515 

STOP LOSS: Rs 470

The stock has provided a breakout from the symmetrical triangular pattern which is a bullish reversal pattern. The wave e of the triangle seems to have gotten over and now wave 5 up seems to have started.

ULTRATECH:  BUY 

TARGET Rs 5,000  

STOP LOSS: Rs 4,400

The stock has provided a breakout from the symmetrical triangular pattern which is a bullish reversal pattern. The stock seems to have completed its wave iv with that and wave v up seems to have started.

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