In CNBC-TV18's popular show Bull's Eye, Nooresh Merani of AMSEC Research shares his trading strategies for the day.
One can buy LIC Housing Finance. The stock has given a breakout above Rs 180 which was the intermediate high after the double bottom at Rs 150 to Rs 155. We can expect the momentum to continue towards Rs 195. One can keep a stop loss at Rs 180 for this trade from hereon.
My second stock call is a buy on Bajaj Corp. This is one FMCG stock which has sustained in a band of Rs 230-265 for the last one to two months. One can buy the stock at current levels keeping a stop loss at Rs 260. Once it sustains above Rs 300 one could be looking at a longer term breakout which could take it to Rs 350.
One can buy Aurobindo Pharma The stock is forming a huge cup and handle pattern which has a breakout above Rs 200-205. We are taking a pre-empt trade at Rs 188-190 levels keeping a stop loss at Rs 185 and an intraday target price of Rs 200. We can see major momentum in the stock above Rs 205 which can give us a medium term target of Rs 240-260.
My last stock call is a sell on YES Bank. The stock has rallied well from Rs 220-230 levels to almost Rs 300-305. It is overbought on daily charts and we can see a little bit of a dip towards Rs 219. This could be a trade for the day with a stop loss of Rs 315 and a target price of Rs 290.