Technical buy and sell calls by Chandan Taparia of Anand Rathi

Here are a few trading ideas from Chandan Taparia of Anand Rathi for Monday's session:

BUY MARICO

The stock is making higher highs- higher lows from the last three sessions after taking support near to Rs 240. It has formed a short term reversal pattern and is giving the signs of bottom formation and is turning from the oversold territory. It crossed its falling supply trend line and moved above its 50-DMA. It gave the highest daily close of last thirty five trading sessions. Thus one can buy the stock with the stoploss of Rs 250 for the upside immediate target of Rs 268 levels.

BUY TECH MAHINDRA

The stock has taken support at its 50-DMA and is making higher highs – higher lows from last three sessions. It surpassed the hurdle of Rs 487 zones and closed above its 200-DMA. It witnessed a strong rally is last four sessions and is showing strength to head towards 502 and higher levels. Thus one can buy the stock with the stop loss of Rs 472 for the upside immediate target of Rs 502.

BUY RELIANCE INDUSTRIES

The stock gave a consolidation breakout and surpassed the hurdle of 1070 levels. It gave the highest daily close of last eleven weeks and is witnessing fresh built up of long position with better rollover activities as compared to previous series. So one can buy the stock with the strict stoploss of Rs 1045 for the upside immediate target of Rs 1115.

SELL UBL

The stock is making lower highs from last four weeks and is showing a tendency of witnessing selling pressure at every attempt to bounce. It witnessed fresh built up of short position with open interest addition of around 4.5% in previous session. It failed to recover even after the recovery in the broader market indicating weakness in the counter. So, one can sell the stock with the stoploss Rs 812 for the downside immediate target of Rs 764.

Disclaimer: We are suggesting these stocks to our clients but not personal holdings.

Chandan Taparia is a Derivatives Analyst - Equity Research at Anand Rathi