Image via Shutterstock
Here are a few trading strategies from Chandan Taparia of Anand Rathi for trade today:
BUY CUMMINS INDIA: The stock is rising higher from last thirteen weeks and has turned from the lower levels. It is moving after the consolidation of last eleven trading sessions. It looks attractive in terms of risk reward ratio. Thus recommending to buy the stock with the stop loss of Rs 870 for the upside immediate target of Rs 925 levels.
BUY MARUTI SUZUKI: The stock is moving after a consolidation of last three weeks and set for fresh rally. It gave the highest daily close of last eight trading sessions and is showing the potential to even surpass the immediate hurdle of Rs 5070 and head in the unchartered territory. It is formed a positive price structure and making higher top – higher bottom formation on weekly chart with support base shifting higher. Thus recommending to buy the stock with the stop loss of Rs 4770 for the upside immediate target of Rs 5070 levels.
BUY DHFL: The stock has seen built up of long position even near its lifetime high territory. It has managed to surpass its immediate hurdle of Rs 275- Rs 280 zones and is just few points away from its life time high territory. According to the current price placement it is indicating an up move towards the potential target of Rs 293 and higher levels. One can buy the stock with stop loss of Rs 270 for the upside target of Rs 293 levels.
SELL AMBUJACEM: The stock is finding hurdle at Rs 278- Rs 280 zone and finding selling pressure at the higher levels. It has been making lower highs price formation from last three trading sessions and witnessing built up of short position which may cause a decline before starting the next upswing of the stock. One can sell the stock on a small bounce back move with strict stop loss of Rs 280 for the downside target of Rs 260 levels.
Disclaimer: We are suggesting these stocks to our clients but not personal holdings
Chandan Taparia is Derivatives Analyst - Equity Research at Anand Rathi