Top trading calls by Anand Rathi: Buy HDFC, BEML, Piramal Enterprises

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

NIFTY: BUY 

TARGET: 11,750 

STOP LOSS: 11,480

Nifty has taken off its previous swing resistance and with that, the trend continues to be positive. The index is now likely to inch towards 11,750 levels which is just near its all-time highs. On the lower side, it has good support at 11,480; hence, till those levels are held the bulls continue to have an upper hand.

HDFC: BUY 

TARGET: Rs 2,080 

STOP LOSS: Rs 1,902

The stock has reversed from the 50 per cent retracement level and has formed a bullish piercing pattern. On the lower side, it has crucial support at Rs 1,902, whereas the target on the upside comes to its previous resistance i.e. Rs 2,080 levels.

BEML: BUY 

TARGET: Rs 1,060 

STOP LOSS: Rs 967

The stock has reversed from the neckline support of the bullish inverse head and shoulders pattern with a clear buy crossover in its momentum indicator MACD both on the daily as well as weekly charts. It is now likely to inch towards the short term target of Rs 1,060 levels.

PEL: BUY 

TARGET: Rs 2820 

STOP LOSS: Rs 2,646

The stock has provided a breakout from the bullish flag formation which is a rare pattern; however, it’s a very powerful pattern. The volumes have increased with this breakout with a clear buy crossover in its momentum indicator. Hence, we recommend buying this stock for the short term target of Rs 2,820 levels.

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