 "Trading strategy")
Nifty Outlook
Nifty remains strangled within the tight trading range of 8720-8530 & a decisive breach outside the said range could unfold the directional bias. Until then expect volatility to have an upper hand as the range gets contracted. A decisive close above 8720 could reinstate the bullish momentum, therefore longs are advised with a stop below 8530.
INDUSIND BANK: BUY
Target : Rs 1310
Stop Loss: Rs 1140
Positive sector outlook & a fresh breakout from the continuation pattern augurs well for the secular up move to remain intact. Longs could be added with a stop below Rs 1140 for a target upto Rs 1310.
KPIT TECHNOLOGIES: BUY
Target : Rs 155
Stop Loss: Rs 125
‘Bullish Engulfing' on the weekly scale raises expectation of a reversal in trend. The stock seems ready for a strong bounce back which could traded with a stop below Rs 125 & an initial target up to Rs 155.
MINDTREE: SELL
Target : Rs 510
Stop Loss: Rs 570
Fresh breakdown from the continuation pattern augurs well for the weakness to persist. A breach below Rs 547 would accelerate the momentum & hence shorts could be added with a stop at Rs 570 & a target upto Rs 510.
Disclaimer: Motilal Oswal Securities ( MOSL ) is regulated by the Securities and Exchange Board of India ("SEBI") and is licensed to carry on the business of broking, depository services and related activities. MOSL is in the process of getting registered under SEBI - Research Analyst Regulations. MOSL, the spokesperson or his relatives, do not have financial interest in the securities mentioned above. The spokesperson has not served as a director, employee or officer at the subject company in the last 12 months. MOSL or its associate might be involved in market making for the subject company or have potential conflict of interest.
Sacchitanand Uttekar is an Equity Technical Analyst at Motilal Oswal Securities
