Stocks to buy and sell in today's trade
Here are a few trading ideas from Sacchitanand Uttekar, Equity Technical Analyst of Motilal Oswal Securities:
Nifty continues its southbound journey as it breached below its psychological support. The sequence of the lower top lower bottom continued despite an oversold situation reported by the RSI. The ADX (Trend strength indicator) has jumped to 38 indicating increasing strength of the ongoing trend which also contradicts the oversold RSI setup. Hence with no signs of a reversal formation the immediate bias continues to remain negative. The immediate requisite would be a close above 8,110 which could distort the ongoing bearish sequence and create some room for a pullback. Therefore traders are advised to resort to adequate hedge to negotiate the final lap of October expiry.
Last Close: Rs 1,398
Target : Rs 1,540
Positive sector outlook and the development of a 'Bullish Harami' at the lower end of the 'Broadening Pattern' re-confirms the validity of the pattern. The setup provides a phenomenal reward to risk opportunity. Fresh longs can be initiated with a stop below 1380 and a pattern target upto Rs 1,540.
Last Close: Rs 84.75
Target : Rs 78
Dish TV saw a breakdown from the symmetrical triangle pattern. Breakdown & pullback to the pattern provides a good reward to risk opportunity to create fresh shorts with a stop above 89 & an initial target to 78.
Last Close: Rs 171.70
Target : Rs 161
Exide is now placed close to its 200 days EMA but the ‘Falling Three’ formation on the daily scale augurs well for the weakness to persist. Short positions could be initiated with a stop above Rs 176.30 for a target upto Rs 161.
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Sacchitanand Uttekar is an Equity Technical Analyst at Motilal Oswal Securities