Top trading ideas by Prabhudas Lilladher: Buy Wockhardt, L&T Finance

Nifty outlook and top trading ideas by Vaishali Parekh, research analyst - technical research at Prabhudas Lilladher.

NIFTY VIEW

The market has been gradually progressing, holding the near-term support level of 10,720. Nifty has got its weekly trend turned up while Bank Nifty has still not. The support for the week is seen at 35,400/10,670 levels while resistance is seen at 36,730/11,080 levels. Bank Nifty would have a range of 26,430-27,720. This week being a truncated one, the market would have a narrow range. The mid-cap sector has made a roaring comeback and looks positive.

BUY  WOCKHARDT

CMP: Rs 420.65

TARGET: Rs 490

STOP LOSS: Rs 385

The stock has witnessed a decent correction and has indicated signs of bottoming out at around Rs 387 level and currently has produced a bullish candle pattern in the daily chart to signify strength and potential to rise further from here on in the coming days. The RSI has slowly and steadily improved and has indicated a trend reversal to signal a buy. With the bias maintained positive and good volume participation witnessed, we recommend a buy in this stock for an upside target of Rs 490 keeping a stop loss of Rs 385.

BUY L&T FINANCE

CMP: Rs 128

TARGET: Rs 146

STOP LOSS: Rs 118

The stock has given a decent correction from the peak of Rs 159 to bottom out near the Rs 120 levels and has indicated a positive candle to make the chart attractive and signify potential for further upward movement in the coming days. The RSI also has indicated a trend reversal to signal a buy and with favourable indicators supporting and decent volume activity witnessed, we recommend a buy in this stock for an upside target of Rs 146 keeping a stop loss of Rs 118.

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