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Today's picks

Axis Bank, Sesa Goa, DLF, Nifty & Tata Motors

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Devangshu Datta New Delhi
Last Updated : Jan 20 2013 | 8:45 PM IST

AXIS BANK
Current Price: Rs 1,425,
Target Price: Rs 1,390
The stock is reacting off recent highs of Rs 1,445-1,450. It could drop till about Rs 1,385-1,390 if the negative momentum increases. Keep a stop at Rs 1,440 and go short. Increase the position between Rs 1,400-1,410. Start booking profits below Rs 1,390.

SESA GOA
Current Price: Rs 315,
Target Price: Rs 330
A massive volume rise drove prices up. The target could be about Rs 330-335. Keep a stop at Rs 307 and go long. Increase the position between Rs 317 and Rs 320. Start booking profits above the Rs 328 mark. If the Rs 307 stop is broken, consider a short with a target of Rs 297 and a stop at Rs 312.

DLF
Current Price: Rs 269,
Target Price: Rs 257
A sharp bull-run may have reversed into correction mode. If support at Rs 265 is broken, the stock could fall till Rs 255-256. Keep a stop at Rs 273 and go short. Add to the position between Rs 262 and Rs 265. Start booking profits below Rs 258.

NIFTY
Current Price: 5,910,
Target Price: NA
The index could be set for a swing (perhaps intra-day) till either 5,800 or 6,000. An at-the-money straddle of long 5,900c (115) and long 5,900p (90) could yield absolute returns of around 15 per cent. If the Nifty hits 6,000, delta-calculations suggest the 5,900c will rise to about 180 while the 5,900p drops to 60. Conversely, at 5,800, the 5,900p will rise to 150, while the 5,900c drops to 85.

TATA MOTORS
Current Price: Rs 1,280,
Target Price: Rs 1,305
Some volume expansion drove a small price breakout. The upside could be till Rs 1,305-1,310. On the downside, if this is a false breakout, the stock could revert to Rs 1,255. Keep a stop at Rs 1,265 and go long. Increase the position between Rs 1,285 and Rs 1,295. Book profits above Rs 1,305.

The target price and projected movements given above are in terms of the next one trading session

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First Published: Apr 06 2011 | 12:27 AM IST

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