Sun Pharma, L&T: Stocks that Nilesh Jain of Anand Rathi is bullish on

Sun Pharma's counter has provided a fresh breakout after retesting its rising channel on the daily chart

BUY NIFTY | TARGET: 11,400 | STOP LOSS: 11,150

The Nifty index continued to make a higher top and higher bottom formation on the daily chart, and, recently, it has taken the support of its 200-DMA which is placed at 10,860. So, as long as it trades above its 200-DMA, the overall setup looks positive. Although, it has an immediate hurdle of its previous swing high which is placed at 11,341 and if Nifty breaks the same, then we can expect the positive momentum to continue towards 11,400 levels. The momentum indicators and oscillators on the weekly scales are still in 'buy' mode which hints at some buying at lower levels. The volatility index is currently near 23 levels which hints of no major movement in the short term. Thus, one can remain on the long side by keeping a stop loss of 11,150.

BUY SUN PHARMA | TARGET: Rs 580 | STOP LOSS: Rs 520

The counter has provided a fresh breakout after retesting its rising channel on the daily chart. The overall setup hints that the positive momentum is likely to continue towards its previous swing high of 580 levels. It is also taking the support of its short term 21-DMA which is currently placed near 450 levels. The MACD has provided a buy crossover on the hourly chart which hints at a further positive momentum in the counter.

BUY NARAYAN HRUDAYALAYA | TARGET: Rs 370 | STOP LOSS: Rs 300

The stock has provided a breakout from a 5-month consolidation range. It is trading well above its short-term and long-term moving averages. A higher-than-average volume also supported the price action. The momentum indicator and oscillator are on buy mode on the weekly scale which hints of further positive momentum in the counter.

BUY L&T | TARGET: Rs 1,020 | STOP LOSS: Rs 920

The stock has provided a much-awaited breakout from a symmetrical triangle formation on the daily chart. It is constantly taking the support of its short term 21-DMA which is placed at 920 levels and likely to act as immediate support. The MACD has provided a buy crossover and RSI has also reversed from its oversold territory on the daily chart which hints of a further positive momentum in the counter.
Disclaimer: Nilesh Jain is Technical and Derivatives Research analyst at Anand Rathi Shares and Stock Brokers. He may have positions in one or all of the above mentioned stocks. Views are personal.