Two technical stock picks by Vaishali Parekh of Prabhudas Lilladher

Kaveri Seeds chart indicates a trend reversal, while Piramal Enterprise is in a rising channel pattern

BUY  KAVERI SEEDS | CMP: Rs 599 | Target: Rs 670-700 | Stop Loss: Rs 560
 

The stock has witnessed decent erosion from Rs 780 and bottoming out near Rs 555 to indicate an improvement in the trend. The chart looks attractive and indicates a reversal pattern with formation of positive candles. The RSI too has seen a trend reversal from the oversold zone and has given a ‘Buy’ signal. We suggest to buy and accumulate this stock for an upside target of Rs 670-700, with a stop loss near Rs 560. CLICK HERE FOR CHART

BUY PIRAMAL ENTERPRISE | CMP: Rs 2,615 | Target: Rs 2,900-2,980 |Stop Loss: Rs 2,540

The stock has been in an ascending trend with series of higher bottom formation pattern at regular intervals and formed a rising channel pattern on the daily chart, underlying its strong bullish bias. Currently, the stock has bottomed out near Rs 2,550 after a short correction and is ready for another upward move in the coming days. The RSI also has flattened out after the correction indicating a trend reversal cue and has potential for further rise. We suggest to buy this stock for an upside target of Rs 2,900-2,980 with a stop near Rs 2,540. CLICK HERE FOR CHART

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Disclaimer: The author is a technical analyst with Prabhudas Lilladher. She may have positions in one or more stocks mentioned above. Views are personal.