Buy Aurobindo Pharma, Century Textiles, Sun TV : Merani

In CNBC-TV18's popular show Bull's Eye, Nooresh Merani, AMSEC Research shares trading strategy of the day.
 
Buy Aurobindo Pharmaceuticals. The stock has given a flat breakout which gives us an immediate target price of Rs 212 and a short-term to medium-term target price of Rs 225. The stock has been in a nice uptrend over the last few months. So still the stock continues in this momentum, one can keep buying on new highs. The stock has made a new high for the week yesterday. This indicates that it should add up to Rs 212 in the next two-three sessions. One can keep a strict stop loss at Rs 195 for this trade and a view of 2-3 sessions.
 
Buy Rallis India. The stock has been making higher tops, higher bottoms. The last time it broke out was around Rs 150 levels. It has made a good base around Rs 148-152 and showing some signs of pullback. So this could be a good risk reward entry point with a medium-term view and a short-term target price of Rs 164. At current levels, one can keep a stop loss at Rs 148 and look towards an intraday target price of Rs 164. Although a medium-term target price would be around Rs 200.
 
Buy Century Textiles. The stock gave a long-term range breakout once it crossed above Rs 390-400 range. Post that the stock did move up to Rs 435-440 and has retested those zones of Rs 400 to Rs 410. Now it is reversing and making a fresh flat breakout which indicates the next stop for the stock would be around Rs 450-460.
 
Buy Sun TV with a target price of Rs 460 in the day and a stop loss to be placed at Rs 425. If we look at the stock, it has been making new highs over the last few weeks. It has been a favourite ever since it has crossed above Rs 360 levels. The stock has made a new high yesterday so this is an indication of momentum which will take it to the target price of Rs 460. The medium-term target price for us is around Rs 550. Any dips in the counter would be a buying opportunity with a short-term to medium-term view as well.