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Six trading stocks for short term gain

Ashish Kyal of wavesstrategy.com advises selling Lupin with a target of Rs 1570.

March 18, 2016 / 12:08 IST
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On CNBC-TV18's show Super Six, market gurus Hemen Kapadia, Ashish Kyal and Gaurav Bissa, 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.Hemen Kapadia of KRChoksey SecuritiesI have a buy call on Mindtree. The stock is deeply oversold on near term charts. Mechanical indicators on the intraday charts have turned positive, have signaled a buy indicating the stock intention to appreciate further from here. One can buy Mindtree at its closing around Rs 657, stoploss of Rs 653 and target of Rs 665.I have a buy call on Rural Electrification Corporation (REC). It has reflected near term strength by giving a high volume recovery. The stock has given a mini breakout. Mechanical indicators on the daily as well as the intraday charts have turned positive; have signaled a buy indicating the stock intention to appreciate further from here. One can buy REC at a closing of around Rs 168, stoploss of Rs 165 and target of Rs 174. Ashish Kyal of wavesstrategy.comOn the long side we have picked up Tech Mahindra. This stock formed a very important low near Rs 410 and post that we can see an impulsive rise on upside and probably it is currently moving up in the form of wave III. So, one can go long on Tech Mahindra, keeping a stoploss of Rs 465 and the target can be expected at Rs 515. The next call is going to be on the short side in Lupin. We can see that over past two days, this stock has fallen very sharply on downside and the momentum is very strong. So, Lupin, one can sell as a momentum call. Keeping a stoploss of Rs 1,750 and target can be expected at Rs 1,570 which is just below the previous low which it had formed few weeks back. Gaurav Bissa of LKP SecuritiesMy first recommendation today is a sell call on Wockhardt. The stock has seen good amount of longs but at Rs 979 a lot of long unwinding pressure is seen. Also trading shorts are seen getting built, out of the money Put options are witnessed, increased amount of action, and there is some exhaustion. I would recommend going short for target of Rs 900 keeping a stoploss at Rs 978. My second recommendation today is sell call on Tata Steel. This is another stock to see good amount of longs. However, again, Rs 300-305 zone is just acting as a strong deterrent. Trading shorts are seen getting built; it is trading below the short-term averages. Again, another stock to see some amount of exhaustion on the momentum indicators, so, all of this augurs well for the stock. One can initiate a sell for target of Rs 280 and one can have a stoploss at Rs 305.

first published: Mar 18, 2016 08:50 am

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