Top trading calls by Anand Rathi: Buy UPL, Cyient and Tata Communications

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: 10,800 

STOP LOSS: 10,583

Nifty has again taken good support at its uptrend line and 10,583 level now appears to be a very crucial support. On the lower side, until 10,583 levels are not broken in the short term, the bulls may hope for a bounce back till 10,800 levels. The short term momentum indicator is well in the buy mode from quite an oversold territory which is a positive sign.

UPL:  BUY 

TARGET: Rs 845 

STOP LOSS: Rs 807

The stock continues to form higher tops and higher bottoms on the daily charts. It has provided a breakout from the short-term consolidation with a buy crossover in its momentum indicator MACD (moving average convergence divergence) which is also a positive sign.

CYIENT: BUY 

TARGET: Rs 635 

STOP LOSS: Rs 590

The stock formed a falling wedge pattern in the wave Z which is a bullish reversal pattern. The momentum indicator MACD is well in the buy mode on the daily as well as weekly charts with a positive divergence. Thus, we recommend buying Cyient for the target of Rs 635 with a stop loss of Rs 590.

Tata Communications:  BUY 

TARGET: Rs 520 

STOP LOSS: Rs 487

The stock has formed a symmetrical triangular pattern in wave X and wave Y up is expected. The daily as well as hourly momentum is well into buy mode; hence, we recommend buying this for the target of Rs 520 with a stop loss of Rs 487.

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