BANKNIFTY
Current: 10,837 (Feb futures 10,835; March 10,840)
Target: 10,700
The financial index has established a pattern of falling tops and it should drop till support at 10,700 today. If 10,700 is broken, it could fall till 10,625-10,650. Keep a stop at 10,900 and go short. Increase the position between 10,775 and 10,800. Start booking profits below 10,700 or else, shift the stop loss to 10,725 and hold with a target of 10,625-10,650.
RELIANCE
Current price: Rs 985
Target price: Rs 955-995
The stock has strong resistance at 1,010 and it has support below 955. Breakouts today could lead to a move of 1,040/ 925 and it could also range-trade 955-995. There was selling above 995 yesterday. Keep a stop at 1,000 and short. Either book profits at 955 and go long (double-plus), with a target of 995 and a stop loss at 945. Or, shift the stop loss to 965 and hold the short with a target of 925.
TATA MOTORS
Current price: Rs 1,137,
Target price: Rs 1,100
The stock has just broken support at 1,150. It could fall till 1,100 before it hits the next reliable support. Keep a stop at 1,155 and go short. Increase the position between 1,120 and 1,130. Start booking profits below the 1,105 mark. If the 1,155 stop is broken, consider reversing and going long with a target of 1,195 and a stop loss at 1,135.
(The target price and projected movements given above are in terms of the next one trading session)
