 "Trading ideas from Chandan Taparia of Anand Rathi")
BUY CADILA HEALTHCARE
STOP LOSS: Rs 316
TARGET: Rs 336
The stock has been holding its three weeks positive stance even after the volatile swing being witnessed in the broader market. It crossed its 35 DMA and formed a bullish cup & handle pattern on daily chart which has a positive implication for immediate price action. It gave the highest daily close of last 27 trading sessions. Thus, traders can buy the stock with stop loss of 316 for the upside target of 336 levels.
BUY WELSPUN INDIA
STOP LOSS: Rs 862
TARGET: Rs 920
The stock has been making higher top - higher bottom formation from last eleven trading sessions after taking multiple support at 820 zones. It is trading above its 50 DMA and gave the highest daily close of around 25-26 trading sessions. Thus recommending buying the stock with the stop loss of 862 for the upside target of 920 levels.
BUY TVS MOTOR
STOP LOSS: Rs 275
TARGET: Rs 295
The stock is respecting to its 50 DMA from last seventeen weeks and holding the support base even after the volatility swing witnessed in the broader market. Although it opened gap down in previous session due to weakness in broader market but still managed to close near the previous sessions closing levels as support based buying was seen on decline. Thus, recommending buying the stock with the stop loss of 275 for the upside target of 295 levels.
SELL IRB INFRASTRUCTURE DEVELOPERS
STOP LOSS: Rs 236
TARGET: Rs 220
It has been consolidating in a range from last one year but on immediate basis it failed to cross hurdle of 243 zones and turning lower with selling pressure. It has been falling from last two weeks and witnessing liquidation of long position followed by fresh built up of short position. Although major support of 220-215 zones may remain intact but as per the recent database a profit booking decline cannot be ruled out at current level. Thus we are recommending selling the stock on bounce back move with the strict stop loss of 236 for the upside target of 220 levels.
Disclaimer : We are suggesting all these stocks to our clients but no personal holdings.
Chandan Taparia is a technical analyst with Anand Rathi.
