Nifty
Current level: 5,110
Target level: 5,175
The Nifty seems to be maintaining an intermediate uptrend. It has strong resistance above current levels at 5,150-5,200 and higher, at roughly 50-point intervals. The key test for the bull market would be to cross 5,400. But June should see net gains. Friday could see a target of 5,175 achieved. Actions: a) Keep a stop at 5,075 and go long in June futures with a target of 5,715. b) A bullspread with long 5,200c (53) and short 5,300c (23) — this costs 30 and pays a maximum of 70, but the trader should be prepared to hold for five sessions.
Maruti
Current price: Rs 1,297
Target price: Rs 1,310
The stock is testing a key resistance at current levels. It has decent volumes and it could move till Rs 310-315 on an intra-day basis, at least. Keep a stop at Rs 1,292 and go long. Reset the stop-loss at Rs 1,303 and increase the position beyond Rs 1,305. Start clearing the position above Rs 1,310.
The target price and projected movements given above are in terms of the next five trading sessions unless otherwise stated
