Nifty outlook and top trading ideas by Prabhudas Lilladher for today

Nifty outlook and few trading ideas by Vaishali Parekh, research analyst - technical research at Prabhudas Lilladher:

NIFTY VIEW
Nifty after correcting from 11750 levels to a low of 10860 levels has taken support and is attempting to bounce from here on. Bank Nifty too has given a substantial corrective move now with support taken at 24670 levels and now likely to bounce up to 25500-25800 levels. The support for the day is seen at 36400/11000 while resistance is seen at 36920/11140. Bank Nifty would have a range of 25060-25620. HDFC twin along with Kotak & IndusInd and among Auto sector Maruti looks very promising for a bounce-back rally.

BUY MARUTI
CMP: Rs 7,999.45
TARGET: Rs 8,800
STOP LOSS: Rs 7,680
The stock has given a decent correction from the peak of 9470 to bottom out at around 7590 levels and has given a good bounce to signify strength and potential to rise further in the coming days. The RSI has touched the highly oversold zone and has indicated a trend reversal to signal a buy with a positive bias. With the chart looking attractive and good volume participation witnessed, we recommend a buy in this stock for an upside target of 8800 keeping a stop loss of 7680.

BUY HDFC BANK
CMP: Rs 1,952.40
TARGET: Rs 2,100
STOP LOSS: Rs 1,900
The stock has witnessed a good correction in the last two months from the peak of 2210 to bottom out at around 1910 levels and has given a good bounce to signify strength and potential to rise further in the coming days. The RSI has touched the highly oversold zone and has indicated a trend reversal to signal a buy with a positive bias. With the chart looking attractive and good volume participation witnessed, we recommend a buy in this stock for an upside target of 2100 keeping a stop loss of 1900.

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Buy Maruti for a target of Rs 9,900, SL of Rs 9,000: Prabhudas Lilladher

Nifty outlook and few trading ideas by Vaishali Parekh, research analyst - technical research at Prabhudas Lilladher:

NIFTY VIEW

Nifty made a record high but the sentiment was somewhat shaken with BankNifty witnessing heavy profit booking and failing to breach the previous peak of 28,363 levels. Nifty has indicated a “Hanging Man” pattern in the daily chart and the chances of a correction in the indices cannot be ruled out. However, the support for the day is seen at 38,100/11,520 while resistance is seen at 38,520/11,630. Bank Nifty would have a range of 27,770-28,220.

BUY GODREJ INDUSTRIES
CMP: Rs 624.70
TARGET: Rs 675
STOP LOSS: Rs 600

The stock has formed a series of higher bottom formation pattern in the daily chart and this time too has taken support around 590 levels near the significant 200 DMA and has given a revival to move past the 50 DMA moving average to signify strength and has potential to rise further in the coming days. The RSI has recently indicated a trend reversal to signal a buy and with decent volume participation witnessed, we recommend a buy in this stock for an upside target of 675 keeping a stop loss of 600.

Maruti to recall the new Swift and Baleno to inspect brake vacuum hose

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Maruti Suzuki India will undertake a 'service campaign' for new Swift and Baleno models to inspect for a possible fault in the brake vacuum hose, the company said in a statement posted on its website. The campaign will cover around 52,686 new Swift and Baleno vehicles manufactured between December 1, 2017, and March 16, 2018. A company spokesperson stopped short of terming it as a recall as the defect is not related to safety or emission issue. The campaign is being undertaken to avoid any potential inconvenience to customers, the spokesperson added.

Owners of the vehicles included in this service campaign will be contacted by dealers for inspection and replacement of the faulty part from 14th May onwards, it said.

Service Campaigns are undertaken globally by automobile companies to rectify faults that may potentially cause inconvenience to customers. The inspection and replacement will be done free of cost for the customer.

It has requested customers of new Swift and Baleno to fill in the chassis number (MBH followed by 14 digit alpha-numeric number) on the computer screen. The chassis number is embossed on the vehicle ID plate and is also in the vehicle invoice/registration documents.

Maruti launched the Baleno in May 2016 and the new Swift in February this year.