Top buy & sell ideas by Ashwani Gujral, Sudarshan Sukhani, Mitessh Thakkar for short term

Mitessh Thakkar of mitesshthakkar.com suggests selling Coal India with a stop loss of Rs 271 and target of Rs 255 and advises buying Havells India around Rs 585, with stop loss of Rs 572 for target of Rs 612.

The market continued its southward journey for third consecutive day on Friday and closed in the red for eight out of last nine sessions. The Nifty50 attempted positive opening again but failed to hold the upside and remained lower for major part of the session on last trading day of September month, dragged by metals, IT and auto stocks.

The index closed far below 11,000 levels, forming bearish candle on the daily charts.

In fact, the month of September was like a nightmare for the market as the Nifty lost 6.4 percent,forming a long bearish candle which resembles a Bearish Engulfing pattern on the monthly charts. IL&FS-led liquidity fears in NBFC segment, rising crude oil prices and rupee volatility caused selling pressure in the market.

The Nifty50 managed to open higher above psychological 11,000 levels but wiped out all gains in first few minutes of trade. The index managed to rebound and hit an intraday high of 11,034.10 but that recovery again sold into and it a day's low of 10,850.30, which is the crucial support for next week, experts said.

The index finally closed 47 points lower at 10,930.50.

India VIX moved down by 1.24 percent to 16.71 levels. It has spiked by 9.36 percent in this week while up by 35 percent in this month. Rising volatility suggests that bears are holding the tight grip on the market, experts said, adding option band signifies a wider trading range in between 10,800 to 11,171 zones.

According to Pivot charts, the key support level is placed at 10,842.5, followed by 10,754.5. If the index starts moving upwards, key resistance levels to watch out are 11,026.3 and 11,122.1.

The Nifty Bank index closed at 25,119.85, up 77.70 points on Friday. The important Pivot level, which will act as crucial support for the index, is placed at 24,907.77, followed by 24,695.73. On the upside, key resistance levels are placed at 25,343.27, followed by 25,566.73.

In an interview to CNBC-TV18, top market experts recommend which stocks to bet on for good returns:

Ashwani Gujral of ashwanigujral.com

Buy Wipro with a stop loss of Rs 319, target of Rs 334

Buy HDFC Bank with a stop loss of Rs 1980, target of Rs 2060

Buy Reliance Industries with a stop loss of Rs 1245, target of Rs 1275

Sell Tata Steel with a stop loss of Rs 590, target of Rs 565

Sell Hind Petroleum Corporation with a stop loss of Rs 255, target of Rs 242

Disclosure: Reliance Industries Ltd. is the sole beneficiary of Independent Media Trust which controls Network18 Media & Investments Ltd.

Sudarshan Sukhani of s2analytics.com

Buy Tata Consultancy Services with stop loss at Rs 2150 and target of  Rs 2240

Buy Aurobindo Pharma with stop loss at Rs 725 and target of Rs 775

Sell Adani Ports with stop loss at Rs 335 and target of Rs 315

Sell Canara Bank with stop loss at Rs 225 and target of Rs 210

Mitessh Thakkar of mitesshthakkar.com

Sell Coal India with a stop loss of Rs 271 and target of Rs 255

Buy Havells India around Rs 585, with stop loss of Rs 572 for target of Rs 612

Sell Kaveri Seed Company with a stop loss of Rs 590.5 and target of Rs 555

Sell Steel Authority of India below Rs 67.5 with stop loss of Rs 69.25 for target of Rs 64

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Use rallies to short Nifty; 3 stocks which could give 6-14% return in October series

We are of the firm view that market is in an intermediate downtrend and top for the year is in placeat recent highs of 11,760 levels, says Mazhar Mohammad.

If Nifty closes above 11,17o, the next resistance level stands at 11,350 levels and if there are signs of weakness around these levels, one can initiate fresh shorts with a target placed between 10,700– 600 kind of levels, Mazhar Mohammad, Chief Strategist – Technical Research & Trading Advisory, Chartviewindia.in, said in an interview with Moneycontrol’s Kshitij Anand.


At this juncture after taking a hit of around 8 percent from the highs of 11,760 with 4-weeks of continuous fall, we should expect some pullback rather than looking to go short at current levels.

Even Friday’s price action is suggesting that the market is finding some buying interest around recent swing low of 10,866 levels.

Why we say that because market witnessed a decent recovery without undergoing panic even after it breached the recent low of 10866 levels which is usually considered as a bearish sign. The index hit an intraday low of 10,850 on Friday.

However, we need to see to what extent and with what strength market registers this pullback in the coming week. Bulls should be able to regain control if Nifty50 manage to close above 11,170 levels.


If the index closes above 11,17o then the next resistance level stands at 11,350 levels. On signs of weakness around these levels, one can initiate fresh shorts with a target placed between 10,700–600 kind of levels.

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Top buy & sell ideas by Ashwani Gujral, Prakash Gaba, Mitessh Thakkar for short term

Mitessh Thakkar of mitesshthakkar.com suggests buying Reliance Industries with a stop loss of Rs 1239 and target of Rs 1282 and Bata India with a stop loss of Rs 974 and target of Rs 1000 while he advises selling CESC with a stop loss of Rs 891 and target of Rs 840.

The Nifty50 repeated its previous day's trading pattern on Thursday, the expiry day of September futures & options contracts. The index opened sharply higher but after positive trade in the initial period, it extended losses as the day progressed and closed below psychological 11,000 levels. The index formed a bearish candle again on the daily charts.

The Nifty50 opened higher at 11,079.80 and closed sharply lower at 10,977.55. The index managed to rise up to 11,089.45, the intraday high, in first half of an hour of trade but suddenly wiped out those gains and remained weak for rest of the session to hit day's low of 10,953.35. It closed 76.30 points lower at 10,977.50.

According to Pivot charts, the key support level is placed at 10,924.03, followed by 10,870.57. If the index starts moving upwards, key resistance levels to watch out are 11,060.23 and 11,142.97.


The Nifty Bank index closed at 25,042.15, down 334.15 points on Thursday. The important Pivot level, which will act as crucial support for the index, is placed at 24,882.03, followed by 24,721.87. On the upside, key resistance levels are placed at 25,327.43, followed by 25,612.67.


In an interview to CNBC-TV18, top market experts recommend which stocks to bet on for good returns: Ashwani Gujral of ashwanigujral.com

Buy Tata Consultancy Services with a stop loss of Rs 2160, target of Rs 2230

Buy Hindustan Unilever with a stop loss of Rs 1600, target of Rs 1655

Sell Reliance Infra with a stop loss of Rs 308, target of Rs 293

Sell Balkrishna Industries with a stop loss of Rs 1060, target of Rs 1000

Sell L&T Finance Holdings with a stop loss of Rs 128, target of Rs 120

Prakash Gaba of prakashgaba.com

Buy Adani Enterprises with target at Rs 150 and stop loss at Rs 138

Buy Bata India with target at Rs 1010 and stop loss at Rs 970

Sell Vodafone Idea with target at Rs 30 and stop loss at Rs 40

Sell Reliance Power with target at Rs 20 and stop loss at Rs 27

Mitessh Thakkar of mitesshthakkar.com

Buy Reliance Industries with a stop loss of Rs 1239 and target of Rs  1282

Buy Bata India with a stop loss of Rs 974 and target of Rs 1000

Sell CESC with a stop loss of Rs 891 and target of Rs 840

Sell Jain Irrigation Systems around Rs 73 with stop loss of Rs 75.5 for target of Rs 66

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Buy or sell: Top stock trading ideas by market experts which are good short term bets

Rajesh Agarwal of AUM Capital recommends buying Gujarat Alkalies with stop loss at Rs 598 and target of Rs 638 and Exide Industries with stop loss at Rs 265 and target of Rs 285.

The Nifty 50 closed a rangebound session mildly lower on September 26 as traders turned cautious ahead of Federal Reserve's interest rate decision tonight and expiry of September futures & options contracts on Thursday. The index failed to extend previous day's gains.


After a gap-up opening, the Nifty slipped into the red and remained rangebound with a negative bias for rest of the session. The index closed marginally in the red, forming bearish candle on the daily charts.


The sectoral trend was mixed with Nifty FMCG (down 1.5 percent), IT (1.9 percent) and PSU Bank (1.9 percent) indices falling the most and the Nifty Midcap index outperforming benchmark indices, rising third of a percent.


The Nifty50 opened sharply higher at 11,145.55, which was also an intraday high, but slipped below 11,000 to hit the day's low of 10,993.05. It managed to recover some losses in late trade to close 13.70 points lower at 11,053.80.

According to Pivot charts, the key support level is placed at 10,982.7, followed by 10,911.6. If the index starts moving upwards, key resistance levels to watch out are 11,135.2 and 11,216.6.

The Nifty Bank index closed at 25,376.30, up 45.95 points on Wednesday. The important Pivot level, which will act as crucial support for the index, is placed at 25,207.37, followed by 25,038.44. On the upside, key resistance levels are placed at 25,535.17, followed by 25,694.03.

Here are the top stock trading ideas which can give good returns in the near term:

Rupak De of Bonanza Portfolio


Buy ACC with target at Rs 1661 and stop loss at Rs 1534

Buy Exide Industries with target at Rs 295 and stop loss at Rs 264
Buy Bharat Electronics with target at Rs 95 and stop loss at Rs 79.40


Rajesh Agarwal of AUM Capital


Buy Gujarat Alkalies with stop loss at Rs 598 and target of Rs 638

Buy Exide Industries with stop loss at Rs 265 and target of Rs 285
Buy Astra Microwave with stop loss at Rs 88 and target of Rs 98
Buy IndusInd Bank with stop loss at Rs 1678 and target of Rs 1732
Buy Havells India with stop loss at Rs 634 and target of Rs 664



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Top buy & sell ideas by Ashwani Gujral, Sudarshan Sukhani, Mitessh Thakkar for short term

Sudarshan Sukhani of s2analytics.com suggests buying Divis Labs with stop loss at Rs 1365 and target of Rs 1425, Hindustan Unilever with stop loss at Rs 1620 and target of Rs 1680 and Infosys with stop loss at Rs 716 and target of Rs 746.
Positive global cues, short covering and a bit of value buying in beaten down stocks helped the  market snap a five-day losing streak on Tuesday. The index made a bullish candle on the daily charts, resembling a Piercing Pattern.
Piercing Pattern is generally called as a bullish reversal pattern. It occurs in a downtrend and is comprised of two candlesticks. The first candlestick is a long black candle, accompanied by high volume. The next candlestick makes a lower low, but then rallies to close above the midpoint of the first candlestick, but not above the opening of that candle. This pattern is one of the first signs that a potential bullish reversal is in play.
In a perfect piercing pattern, opening will be below previous day’s closing price and the close will be above the mid-point of previous sessions candle body but Tuesday’s opening was almost close to Monday’s closing price.
The Nifty50 after opening flat fell sharply and hit an intraday low of 10,882.85. It managed to recoup losses in morning trade itself amid volatility but slipped into red again in afternoon followed by sharp recovery in last hour of trade which helped the index climb above 11,000 levels to hit day's high of 11,080.60. The index closed 100.10 points higher at 11,067.50.
According to Pivot charts, the key support level is placed at 10,940, followed by 10,812.5. If the index starts moving upwards, key resistance levels to watch out are 11,137.8 and 11,208.1.
The Nifty Bank index closed at 25,330.35, up 360 points on Tuesday. The important Pivot level, which will act as crucial support for the index, is placed at 24,870.04, followed by 24,409.77. On the upside, key resistance levels are placed at 25,598.74, followed by 25,867.17.
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Top buy & sell ideas by Ashwani Gujral, Sudarshan Sukhani, Mitessh Thakkar for short term

Mitessh Thakkar of mitesshthakkar.com is of the view that one can buy Aurobindo Pharma with a stop loss of Rs 720 and target of Rs 755 and sell Equitas Holdings around Rs 131 with stop loss of Rs 136 and target of Rs 120.

The Nifty50 started off the week on negative note, extending losses for fifth consecutive session on Monday. The index after gap opening immediately slipped into red and closed below psychological 11,000 levels for first time since July 19, forming bearish candle on the daily charts which also resembles a ‘Bearish Beld Hold’ kind of pattern.

A ‘Bearish Belt Hold’ pattern is formed when the opening price becomes the highest point of the trading day (intraday high) and the index declines throughout the trading day making up for the large body. The candle will either have a small or no upper shadow and a small lower shadow.

Fear of liquidity crunch in NBFCs, trade tensions between US and China, rising crude oil prices and weakening rupee weighed on sentiment.

All sectoral indices closed sharply lower barring IT that gained more than 2 percent. The Nifty Midcap index has fallen more than frontline indices, declining 2.77 percent.

The Nifty50 after opening higher at 11,164.40 hit an intraday high of 11,170.15, but immediately wiped out opening gains and extended losses as the day progressed. The index has broken 11,000 levels and hit a day’s low of 10,943.60, before closing below 100-day moving average, down 175.70 points at 10,967.40.

The 50-share NSE index lost 793 points or 6.7 percent from its record high of 11,760 seen on August 28.

India VIX moved up sharply by 14.19 percent to 17.74 and it is now at highest levels in last seven months. Rising volatility with falling Put Call Ratio suggests that bears are holding the tight grip on the market, experts said.

According to Pivot charts, the key support level is placed at 10,883.93, followed by 10,800.47. If the index starts moving upwards, key resistance levels to watch out are 11,110.54 and 11,253.67.

The Nifty Bank index closed at 24,925.20, down 671.70 points on Monday. The important Pivot level, which will act as crucial support for the index, is placed at 24,699.97, followed by 24,429.63. On the upside, key resistance levels are placed at 25,445.17, followed by 25,920.03.

Buy Tata Consultancy Services with a stop loss of Rs 2180, target of Rs 2260

Buy HCL Technologies with a stop loss of Rs 1080, target of Rs 1140

Sell L&T Finance Holdings with a stop loss of Rs 134, target of Rs 122

Sell Indian Bank with a stop loss of Rs 261, target of Rs 246

Sell Manappuram Finance with a stop loss of Rs 80, target of Rs 72

Sudarshan Sukhani of s2analytics.com
Sell Bajaj Auto with a stop loss at Rs 2800 and target of Rs 2650

Sell Shriram Transport Finance Corporation with stop loss at Rs 1155 and target of Rs 1100

Sell ICICI Prudential Life Insurance with stop loss at Rs 342 and target of Rs 336

Buy HCL Tech with stop loss at Rs 1080 and target of Rs 1125

Buy United Breweries with stop loss at Rs 1300 and target of Rs 1375

Mitessh Thakkar of mitesshthakkar.com

Buy Aurobindo Pharma with a stop loss of Rs 720 and target of Rs 755

Sell Equitas Holdings around Rs 131 with stop loss of Rs 136 and target of Rs 120

Sell Pidilite Industries around Rs 1100 with stop loss of Rs 1120 and target of Rs 1060

Buy Reliance Industries with a stop loss of Rs 1210 and target of Rs 1265


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Options data indicates an immediate trading range of 11,000-11,400

The current panic may continue for few more days due to margin calls triggered post heavy sell-off of Friday, says Shabbir Kayyumi of Narnolia Financial Advisors. The correction in stocks that started with rising oil prices and a falling rupee was accelerated by rising bond yield and now credit default issue is creating selling climax in the market.
India VIX is trading at the highest level of the week around 15.36 and gained almost 10 percent on September 21, which along with fall of prices, implies higher volatility in the market with a bearish bias. Although Nifty bounced back to its 5-DMA (11,309) on the day, it closed below it, around 11,143 marks, which suggests weakness in the benchmark index in the short term.
Strong indicator 100 DMA is around 11,025 mark, decisive closing below it will take the index towards 200-DMA, which is trading around 10,740 levels. However, a fall should halt around the 10,700 levels, where the previous swing high/low and the strong support trend lines confluence zone exists.
Looking at the Open Interest (OI) front, the highest in Put is seen around 11,000 strikes, followed by 11,100 strikes whereas maximum OI in Call is around 11,500 levels, followed by 11,400. Moreover, options data indicates an immediate trading range between 11,000 and 11,400 marks.
For Nifty, we expect strong support to emerge from 100 DMA at 11,025 and 200 DMA at 10,740. Although, the current panic may continue for few more days due to margin calls triggered post heavy sell-off on September 21. On the other side, a lower time frame downward sloping trend line breakout will be above 11,320 levels, which indicates the Nifty’s close above 11,320 levels will lead the rally towards 11,550/11,600.
Tata Global | Buy above Rs 240 | Target: Rs 275 | Stop Loss: Rs 220 | Upside 15%
Tata Global has given falling wedge breakout after giving short term consolidation on daily charts. From the last few days, it has been trading in its congestion zone and formed a pole and flag pattern on daily charts, which creates buying opportunity in the scrip again. Moreover, sustainability of relative strength index (RSI) above nine days exponential moving average (EMA) giving cues for upside momentum. Strong support is seen near 220 marks. By looking all these factors, trader and investor can buy this scrip above 240 with the stop loss 220 for the target of 275.
Bharti Infratel | Buy Range: Rs 270 - 280 | Target: Rs 317.50 | Stop Loss: Rs 262 | Upside 14%
Bharti Infratel bottomed out near the levels of 263-265 and formed double bottom on daily chart. Breakout is expected above 293 marks from where buying momentum will increase Double Series of long-legged doji and tweezers bottom at lower levels showing upside swing in coming sessions. Moving average convergence and divergence (MACD) histogram started trading in positive territory and positive divergence of RSI adds the conviction of going long for the target of 310 and 325 with stop loss of 262 marks.
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Friday's crash signals time to 'hide in defensives'; Sun Pharma, Wipro, Dr Reddy’s make good bets

Our strategy should be to hide ourselves in the defensive sector till the Nifty does not cross the all-time high level of 11,770.

In the past, the Nifty has a number of times witnessed a steep fall due to extreme sell-off because of unwarranted reasons. It is not new to market participants and instead of thinking and wasting time on what has happened, we should be focusing on the next strategy and learn from such falls and make the most of it.

Our observation has been that since the market has announced the GDP numbers (above 8.20 percent) it has been falling consistently. This is the best example of the famous quote, "Buy the rumour and Sell on the news".

In September so far, the Nifty has fallen 4.50 percent and the index heavyweights are down by nearly 10-12 percent, which is in tandem with the trend of the market.

However, we see that there is some serious damage while going through a stock-specific activity.

The lowest level of Friday is going to act as a major support level for the Nifty. It was the 50 percent level of the entire rise between 9,950 and 11,760.

We must give due weightage to the 50 percent retracement ratio and that is the major reason that we consider it to act as a trend decider level for the market in the future.

If we see increased volatility and further weakness below 10,865 on Monday then one more round of selling cannot be ruled out to levels that could either be 10,650 or 10,550.

Being in an uncertain market, instead of knowing what could be the next level we should try to understand what experts do during such market sell-offs.

Our strategy should be to hide ourselves in the defensive sector till the market does not cross the all-time high level of 11,770.

The reason — currently that the market is in an uncertain zone and due to a number of events which are lined up (US Fed meet/RBI meet and quarterly numbers) there could be increased volatility. These sectors trend higher during uncertainties.

While looking at the current statistics of GDP and the trend of the rupee, we suggest that one should look to add pharmaceuticals stocks over FMCG.

Taking a "Bottom Up" approach while selecting stocks from technology, and using a "Top Down" approach is advisable in pharmaceuticals space.

Technically, we like Sun Pharmaceutical with a final stop loss at Rs 550 and Dr Reddy’s with a stop loss at Rs 2,300 from the pharmaceutical space. On the higher side, we can expect 30 percent returns from current levels in both these stocks.

From the technology basket, we would stick to Wipro, which is entering into a multi-year breakout zone, keeping a stop loss for the same at Rs 300 on a closing basis.

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Yes Bank tumbles 30% as brokerages downgrade stock, cut target after RBI curtail Rana Kapoor te

Moody's Investors Service on Thursday affirmed its ratings on the bank. The rating agency has maintained the outlook on the ratings as stable.

Shares of private lender Yes Bank fell 30 percent in the early trade on Friday after Reserve Bank of India (RBI) cut the tenor of Rana Kapoo, promoter, chief executive and managing director till January 31, 2019.

Also, Moody's Investors Service on Thursday affirmed its ratings on the bank. The rating agency has maintained the outlook on the ratings as stable.


As Reserve Bank of India (RBI) had curtailed the term of Rana Kapoor, most os the brokearges have downgarded the stock and also slashed the target price.

Brokerage: IDFC Securities | Rating: Underperform | Target: Rs 230

IDFC Securities has downgraded the stcoks to underperformer from neutral with potential downside of 28 percent. Broking firm also cut target to Rs 230 from Rs 350 per share.

According to IDFC Securities the cut in Rana’s tenor is a very big negative for the bank as it will slow down loan and fee growth and this could also impact bank’s ability to raise high net worth deposits.

This risk has not been priced in and expect significant correction, it said further.
Brokerage: Citi | Rating: Sell | Target: Rs 270

Research house Citi has downgraded the stock to sell from buy with a potential downside of 15 percent. It also cut the target price to Rs 270 from Rs 440 per share.

The firm believes that there is premium attached to the stock due to Rana Kapoor and banks will have likley to defer its capital raise plans, which will be impact growth of the comapny.

Time period of over four months could prove short to find a suitable external candidate, it feels.

Brokerage: Macquarie | Rating: Outperform | Target: Rs 425

Forgien broking house Macquarie has maintain outperform rating on Yes Bank with a target of Rs 425 and expect potential upside of 33 percent on the stock.
The rejection is a major negative development, while absence of any communication from bank or RBI will be an overhang on stock, it added.

Brokerage: Goldman Sachs | Rating: Neutral | Target: Rs 300

Goldman Sachs has downgrades the stock to neutral from buy and cut taregt to Rs 300 from Rs 383 per share.

The current news may create uncertainty on strategic direction, also future growth and profitability of the bank is uncertain.

Bank’s current CET-1 capital ratio at 9.5% is close to 8%. It cut the earnings estimates by 11% to 18% for FY19-21.

Brokerage: Nomura | Rating: Neutral | Target: Rs 345

Broking house Nomura has downgraded the stock to neutral from buy and cut target to Rs 345 from Rs 500 per share.

According to Nomura, the base case target price is at Rs 365, if capital raising becomes difficult.

The firm has cut its earnings growth estimate for the next two years to 20 percent, while credible external CEO candidate and lower FY18 divergence will be positive catalysts.

At 09:19 hrs Yes Bank was quoting at Rs 223.35, down Rs 95.15, or 29.87 percent.



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HDFC AMC, Reliance Nippon Life plunge 8-11% as brokerages cut target sharply after MF fee cut by SEBI

54 percent of industry AUM is controlled by top 5 players and 75 percent of industry AUM is controlled by top 10 players.

HDFC Asset Management Company closed 8.5 percent lower and Reliance Nippon Life Asset Management ended lower by more than 11 percent to hit 52-week low of Rs 186.20 as brokerages slashed their target prices after SEBI cut expense ratio for these companies.

Global brokerage house Nomura has downgraded Reliance Nippon AMC share to Neutral from Buy and also slashed target price to Rs 210 from Rs 315 earlier after capital market regulator SEBI on Tuesday cut total expense ratio (TER) for mutual funds by 20-25 basis points.

TER cut is in addition to the recent 15 bps cut in lieu of exit loads, it said.

In last six months, SEBI cut TERs by 40 bps versus industry profitability of 25 bps. Nomura said AMCs will also have to absorb some part of the impact.

Morgan Stanley also cut target price on HDFC AMC stock to Rs 1,765 from Rs 2,050 per share while having Overweight call on the stock. "Lowering EPS/price target is materially on sharp TER cut by SEBI."

The global research firm cut estimates for equity & gross revenue / AAAUM by 20 bps & 11bps respectively and expects some further near-term weakness


Experts said this will have impact on earnings of these companies. Companies can pass on to distributors or have to absorb the cost by taking hit on earnings.

Aditya Birla Sun Life AMC told CNBC-TV18 that earnings will go down for both AMC & distributors.

54 percent of industry AUM is controlled by top 5 players and 75 percent of industry AUM is controlled by top 10 players.

Aditya Birla Sun Life said the reduction in cost is a positive for consumers and the market share might move from large to smaller players.

According to CLSA, the SEBI move of fee cut for MF could impact sector earnings by 25 percent as equity AUMs form 40 percent of total funds and could lead to a 15-25 bps reduction in equity fees.

"This will impact all funds & should be effective in 2-3 months. We see some knock-on impact for brokers & private banks. Risk arises for life insurers in the case IRDAI reviews ULIP fee," it said, adding companies will pass on majority of this to distributors.

Citi feels mutual funds could cushion lower TER impact by passing it to distributors and by lower promotional expenses.

"Banning upfront commissions will improve quality of flows. Lower charges will make mutual funds more attractive for investors and aid penetration," Citi said.

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Podcast | Stock picks of the day: Short-term trend turns negative; 3 stocks which could give 4-9% return

As per the options data, the support and resistance levels for Nifty has shifted lower compared to last week and the immediate support is seen around 11,200 and 11,000 levels whereas 11,500 will act as a strong hurdle in September expiry.

Abhishek Mondal
Guiness Securities

The Nifty50 failed to sustain above its 50-DMA and formed a bearish candle on the daily scale to settle below the psychological mark of 11,300 on Tuesday. The selling pressure is likely to remain as long as the index stays below 11,470 levels.

Bears made a strong comeback on Monday and Tuesday as well as sentiments remained dampened since the beginning of the week due to trade war fears and volatile rupee.

The markets started Tuesday’s session on a pessimistic note and Nifty50 closed below its 50-days moving average at 11,278.90 down by 0.87 percent.

The Nifty50 formed a strong Bearish candle on the daily scale with a negative sequence of lower tops and lower bottoms in hourly scale which suggests that the short-term trend has turned in favour of the bears.

On the daily scale, the immediate support is seen around 11,170 levels (Gap support), and any violation of this level will trigger further downside towards 11,089 (100 EMA) and 10,850-10,900 levels.

On the upside, 11,470 will remain as a key resistance. The Relative Strength Index (RSI) on the daily chart is 42.31, showing negative momentum and the MACD is trading above zero line but with the negative cross of its signal line, which indicates that price may come down further in upcoming trading sessions.

The volatility index ended down by 0.55 percent at 14.41 but still trading above its heedful mark of 14, a sideways to down move in VIX suggests consolidated move in the market.

On the Options front, maximum Call open interest of 44.30 lakh contracts is seen at strike price 11,500, followed by 11,600 which now holds 40.88 lakh contracts and maximum Put open interest of 39.45 lakh contracts is seen at strike price 11,200, followed by 11,000 which now holds 35.2 lakh contracts.

As per the options data, the support and resistance levels for Nifty has shifted lower compared to last week and the immediate support is seen around 11,200 and 11,000 levels whereas 11,500 will act as a strong hurdle in September expiry.

Here is a list of top three stocks which could give 4-9% return in next 1 month:

Divis Laboratories: Buy| LTP: Rs 1379.80 | Target: Rs 1490 | Stop loss: Rs 1300 | Return: 7.99%

On the daily scale, the stock has given a breakout from its Flag pattern above Rs 1330-1332 levels on Monday with higher volumes. The Relative strength index (RSI) is showing positive momentum and MACD is trading above zero line with a positive crossover which indicates limited downside for the stock.

Based on the above observations traders can buy the stock around current levels and further add on dips around Rs 1340-1345 with a stop loss below Rs 1300 (closing) for the target of Rs 1490.

Biocon: Buy| LTP: Rs 677.10 | Target: Rs 740 | Stop loss: Rs 630 | Return: 9.29%

After making a marginal consolidation, the stock has given a breakout above Rs 675-676 levels on Tuesday with higher volumes.

The daily Relative strength index (RSI) showing positive momentum and (+) DI trading above (-) DI whereas MACD trading above zero line with positive crossover, which indicates that the stock has the potential to move higher.

Traders can buy the stock in the range of Rs 675-678 with a stop loss below Rs 630 (closing) for the target of Rs 740.

Ceat: Sell| LTP: Rs 1349.20 | Target: Rs 1295 & 1280 | Stop loss: Rs 1378 | Return: 4.43%

Ceat is continuously trading below its short and mid-term moving averages as well as below 61.8 percent retracement levels of 4th September to 10th September 2018 up move with moderate volumes in daily scale, which indicates that the bias could remain bearish for the next few trading sessions.

The Daily Relative strength index (RSI) is trading at 43.53, showing negative momentum and MACD is continuously trading below the signal line whereas directional movement also indicating the negative trend.

Based on the above observations the stock is likely to move down in the near term. A trader can sell the stock at current levels and add shorts on some technical bounce around Rs 1355-1360 with a stop loss above Rs 1378 (closing basis) for a target of Rs 1295 & 1280.

Capital Ways Investment Adviser
101-202 SURYODAY BUILDING 2/1 DR RS BHANḌARI MARG , INDORE (MP) 452001
info@capitalways.com
Contact Us: 08517810864


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Top buy & sell ideas by Ashwani Gujral, Sudarshan Sukhani, Mitessh Thakkar for short term

Sudarshan Sukhani of s2analytics.com suggests selling Bharti Infratel with stop loss at Rs 270 and target of Rs 261, IRB Infra with stop loss at Rs 178 and target of Rs 168 and Jet Airways with stop loss at Rs 270 and target of Rs 255.

Bulls failed to regain control over D-Street as Nifty slipped below crucial moving average such as 5-day exponential moving average (EMA), 20-EMA, as well as 13-EMA in a single day and made a ‘Bearish Belt Hold’ kind of pattern on daily charts on Monday.

The index slipped below crucial short-term moving average and the next crucial support is now placed at 11,250 which was the swing low formed on 12 September. On the other hand, for bulls to take control, Nifty has to reclaim 11,520 levels.

The Nifty opened at 11,464 and slipped below 11,400 to touch its intraday low of 11,366 before closing the day at 11,377 down 137 points.

According to Pivot charts, the key support level is placed at 11,341.47, followed by 11,305.13. If the index starts moving upwards, key resistance levels to watch out are 11,439.57 and 11,501.33.


The Nifty Bank index closed at 26,820.3. The important Pivot level, which will act as crucial support for the index, is placed at 26,708.26, followed by 26,596.23. On the upside, key resistance levels are placed at 26,967.46, followed by 27,114.63.

Ashwani Gujral of ashwanigujral.com

Sell L&T Finance Holdings with a stop loss of Rs 158, target of Rs 150

Sell Titan Company with a stop loss of Rs 830, target of Rs 800

Buy Jindal Steel & Power with a stop loss of Rs 232, target of Rs 248

Buy Tata Global Beverage with a stop loss of Rs 232, target of  Rs 246

Buy Havells India with a stop loss of Rs 660, target of Rs 678

Sudarshan Sukhani of s2analytics.com

Sell Bharti Infratel with stop loss at Rs 270 and target of Rs 261

Sell IRB Infra with stop loss at Rs 178 and target of Rs 168

Sell Jet Airways with stop loss at Rs 270 and target of Rs 255

Buy Strides Pharma with stop loss at Rs 500 and target of Rs 525

Mitessh Thakkar of mitesshthakkar.com

Buy Engineers India above Rs 138 with stop loss of Rs 135 for target of Rs 145

Sell Godrej Industries with a stop loss of Rs 584 for target of Rs 552

Buy Jindal Steel & Power with a stop loss of Rs 231 for target of Rs 250

Sell UltraTech Cement with a stop loss of Rs 4160 for target of Rs 3970

Buy Avanti Feeds with a stop loss of Rs 442 for target of Rs 505

Capital Ways Investment Adviser
605, Industry House , AB road Indore (MP) 452001
info@capitalways.com
Contact Us: 08517810864


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Top buy & sell ideas by Ashwani Gujral, Mitessh Thakkar, Prakash Gaba for short term

Mitessh Thakkar of mitesshthakkar.com suggests selling Aurobindo Pharma with a stop loss of Rs 731 for target of Rs 696 and Bank of Baroda...