Buy Bharat Forge, NHPC; sell LIC Housing Finance: Chopra
Manav Chopra of Nirmal Bang recommends buying Bharat Forge with a target of Rs 284 and advises selling LIC Housing Finance October Futures.
October 18, 2013 / 13:27 IST
In CNBC-TV18's popular show Bull's Eye, Manav Chopra of Nirmal Bang shares his trading strategies for the day.
One may buy Bharat Forge. Since October this stock has been a complete outperformer in the market and has been forming a series of higher highs and lows. The stock on the intraday charts yesterday has managed to exceed the crucial hurdles of Rs 272-273 decisively with big bullish candle accompanied by above average volumes which further confirm the bullish breakout. The stock on the high timeframe charts has accompanied by good momentum which is indicating that the stock could see further rise in the near term perspective. However, Rs 273 is a good support for this stock on the intraday charts. One can maintain a buy, keep a stoploss of Rs 271 for an upside target of Rs 284. One may buy NHPC. This stock after short-term decline has formed a strong reversal pattern near its crucial support areas which also coincides with its long-term averages. The momentum indicators on the intraday charts as well as daily charts have bounced from its oversold territory which suggests that this stock could see a good rise in the near term perspective and we can maintain an upside target of Rs 19.50. One can maintain a buy with a stoploss of Rs 18.30. One may sell LIC Housing Finance October Futures. This stock after series of negative divergence has breached the rising trend line drawn from its recent lows which has confirmed a short-term trend reversal. The prices are also currently trading below short-term averages and we expect selling pressure to continue in this stock in the near term. It has series of resistance around Rs 200 levels. One can maintain a sell with a downside target of Rs 189.Arvind after a short-term consolidation has managed to close decisively above the crucial levels of Rs 99 which has accompanied by above average volumes. The momentum indicators on the weekly and the monthly charts continue to remain positive which indicates that the prices could inch higher. With absence of any sort of divergence in the price and the momentum indicators we expect that the stock could rally close to levels and we maintain an upside target of Rs 105. It has a strong support around Rs 98.70 on the lower side on the intraday charts. Maintain a stoploss of Rs 98.30. Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
