Super Six: What's hot on the charts, and what's not

On CNBC-TV18's new show Super Six, market gurus Hemant Thukral of SBI Capital Securities, technical analyst at viratechindia.com Hemen Kapadia and Devangshu Dutta, Consulting Editor of Outlook, place their bets on two stocks each, thus offering investors a variety of options to choose from. Investors can read into the detailed analysis before agreeing to any or all the bets.

Hemant Thukral of SBI Capital Securities

First stock for the day would be Alok Industries. In all textile stocks the way the buying has been seen in 5-6 sessions it continues, Alok today has seen an interest addition of 6% along with heavy cash volumes of 13 lakh shares. But if you compare it with the average of last 5 days the average has been 7 lakh shares. The stock has managed to close above Rs 27.50 which was acting as resistance for it. Now in the immediate short term we expect the buying to continue and target for Alok Industries will be Rs 29.50-30.

The second stock which deserves a mention here is SREI Infra. Again among all the infrastructure stocks this stock has last seen a lot of buying interest coming back and if you recheck last 3-4 days the IRB Infras and IVRCLs of the world have run up, on the same line SREI infra has seen a lot of long positions being added up. 4% open interest addition with cost of carry moving up. Above all the way the delivery volumes have moved up the stock has seen 10 lakh shares being traded which is much hhigher than the 5-day average. It seems that the stock is heading towards Rs 45-46 zone. So the second pick for the day would be SREI infra, a midcap infra pick.

Hemen Kapadia, Technical Analyst, chartpundit.com

First stock I would like to recommend is Blue Star. In fact the stock has given an upward key reversal on a daily chart, there has been significantly higher volume today than the last trading sessions. The stock is oversold and the mandatory round of positive divergences has already begun on the daily charts. In fact we have had 2 rounds of positive divergences indicating that turnaround is close at hand. So the situation is also replicated on the weekly charts. It looks extremely oversold indicating a short term turnaround but possibly a medium term turnaround also. Keeping that in mind, one can buy Blue Star at around Rs 315 with a stoploss of Rs 307 and target of Rs 331.

The second stock I would recommend is Dishman Pharma. The stock has posted a higher top higher bottom on the daily charts. Once again a deep oversold situation, in fact the stock has been consolidating after a sideways movement. One can probably buy Dishman Pharma at around Rs 97 with a stoploss of Rs 93 and a target of Rs 105.

Devangshu Dutta, Consulting Editor, Outlook

Bajaj Hindusthan looks like an interesting stock picked up a lot of volumes in the last 2 sessions. I would say the stock would go upto Rs 70-71, with keeping a stoploss at Rs 66 and go long.

IVRCL is also picking up a bit of steam. Stock may be on the edge of a breakout. It has a lot of resistance at current level of Rs 78 but it could move to Rs 81-82. So keep a stoploss at Rs 76 and go long and look for a target of just above 80.