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Here are a few trading ideas from Chandan Taparia of Anand Rathi for trade today:
BUY TVS MOTOR: The stock has negated its immediate negativity and has taken support at the previous low made in the month of September, 2016. It had ended the immediate pattern of making lower lows – lower highs in previous session and held onto the gains even after the negativity seen in the broader market. Thus recommending buying the stock with the stop loss of Rs 349 for the upside immediate target of Rs 372 levels.
BUY NTPC: The stock formed a bullish engulfing pattern on daily chart and is holding the support from last three sessions. It is turning after taking support around 61.8% retracement levels on daily chart. It is holding above its 50 DMA and according to its current price structure it is well placed to give a bounce towards Rs 155 and higher levels. Thus recommending buying the stock with the stop loss of Rs 145 for the upside immediate target of Rs 155 levels.
BUY VEDANTA: The stock witnessed a strong rally even after the decline in the broader market and is holding the gains near its 52 weeks high territory. Fresh longs were seen entering into the counter with open interest addition of around 4% thus supporting our positive view in the stock. Thus recommending buying the stock with the stop loss of Rs 204 for the upside immediate target of Rs 219 levels.
SELL BAJAJ AUTO: The stock has broken immediate support of Rs 2640 zones and witnessing built up of short followed by liquidation of long position. It has been falling down from last two weeks and also broken important support zones. It is showing extension of weak structure so one can sell the stock with the stop loss of Rs 2670 for the downside target of Rs 2514 levels.
Disclaimer: We are suggesting these stocks to our clients but not personal holdings.
Chandan Taparia is a Derivatives Analyst - Equity Research at Anand Rathi