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Today's picks

Nifty, SBI, Maruti & L&T

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Devangshu Datta New Delhi
Last Updated : Jan 20 2013 | 2:22 AM IST

NIFTY
Current: 5,547
Target: NA
The index looks bearish and it could test support at 5,450 today. On the upside 5,600 seems a strong resistance but a swing session could move till 5,650. A one-session position of long 5,500p (10) and long 5,600c (8) could pay off large if there's early volatility. The other possibility to short Aug futures with a stop loss at 5,580 and an initial target of 5,500.

SBI
Current: Rs 2,405
Target: Rs 2,200
The downtrend after the rate hike leads to a potential chart-based target of Rs 2,175-2,200 inside the next five sessions. However, expect volatility and keep wide stops. Keep a stop at Rs 2,450 and go short. Add to the position between Rs 2,350-2,375 and reset the stop to Rs 2,405. Start booking profits below Rs 2,200.

MARUTI
Current: Rs 1,209
Target: Rs 1,240
The stock has seen a breakout which could take it till between Rs 1,235-1,245 in the next five sessions. However a fall below Rs 1,200 could also pull it back till Rs 1,185. Keep a stop at Rs 1,200 and go long. Add to the position between Rs 1,215-1,225 and reset the stop to Rs 1,210. Start booking profits at Rs 1,240.

L&T
Current: Rs 1,759
Target: Rs 1,810
There's been some heavy selling but today may see short-covering that pulls the stock into a temporary recovery till somewhere Rs 1,810-1,820. Keep a stop at Rs 1,735 and go long. Add to the position between Rs 1,780-1,790 and reset the stop to Rs 1,765. Start booking profits above Rs 1,810. If Rs 1,735 breaks, a slide till Rs 1,690 is possible so reverse and go short.

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

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First Published: Jul 28 2011 | 12:09 AM IST

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