Top trading calls by Anand Rathi: Buy JSW Steel, HDFC Bank and ITC

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: 10,191  

STOP LOSS: 10,942

The Nifty has been forming higher tops and bottoms on the daily charts and it has been approaching the upper end of the range i.e. 10,191 levels. On the lower side, it has support at 10,942 which is the previous swing high, hence we recommend to buy Nifty on a positional basis for the above-mentioned target.

JSW STEEL: BUY

TARGET: Rs 320

STOP LOSS: Rs 274

The stock has completed a five-wave declining structure and it’s expected to retrace the entire fall by at least 38.2 per cent. The daily momentum indicator has also provided a buy crossover.

HDFC BANK: BUY

TARGET: Rs 2,215

STOP LOSS: Rs 2,090

The stock has provided a breakout from the downtrend line resistance with a fresh buy crossover in its momentum indicator -- MACD. The stock seems to have started wave III of wave 5 up, hence we recommend buying this stock.

ITC: BUY

TARGET: Rs 305

STOP LOSS: Rs 279

The stock has provided a buy crossover in its momentum indicator MACD with a fresh buy crossover in its daily MACD. The stock has also seen a good increase in its volumes, hence we recommend buying this stock.