Top stock recos for today: Buy Tata Motors, Bharat Forge and Tata Elxsi

Photo: Shutterstock Photo: Shutterstock Nifty outlook and few trading ideas by Vaishali Parekh, Research Analyst - Technical Research at Prabhudas Lilladher
 
NIFTY VIEW:
 
Indices are retracing from its overbought zone with RSI too showing signs of reversal. The support for the day is seen at 10,240 while resistance is seen at 10350. The significant moving average of 34WMA lies at 10,230 which should act as good support for Nifty else can drag down to 10,000-9,980 levels in the coming days.
 
BUY TATA MOTORS  
CMP: Rs 438.20    
TARGET: Rs 475   
STOP LOSS: Rs 420
 
The stock has made a new high recently and now a higher bottom formation is anticipated and we can expect a further rise with potential and strength and can scale up to 475 levels. The MACD indicator has been on the rise and is showing a positive bias and we anticipate a gain in this stock in the coming days. We recommend a buy in this stock for an upside target of 475 keeping a stop loss of 420.
 
BUY BHARAT FORGE     
CMP: Rs 730.75     
TARGET: Rs 800    
STOP LOSS: Rs 690
 
The stock has been on a good run with an upward trend and it has scaled new heights in recent times with strength and we anticipate it to continue the good run with more further upside potential in the coming days. The RSI has been on the rise and also the MACD has been showing  good positive bias in the past 2-3 weeks. With good volume participation witnessed, we recommend a buy in this stock for an upside target of 800 keeping a stop loss of 690.
 
BUY TATA ELXSI        
CMP: Rs 884.20     
TARGET: Rs 970    
STOP LOSS: Rs 835
 
The stock has been consolidating at around 830 – 850 levels for quite some time and now it has given a new round of momentum moving above the consolidation range and looks attractive for still further rise with potential and strength. The RSI has been on a strong trend indicating a positive bias and supporting our view. With good volume activity witnessed in recent times, we recommend a buy in this stock for an upside target of 970 keeping a stop loss of 835.
 
Disclaimer: The analyst may have positions in any or all the stocks mentioned above