Top trading ideas by Tradebulls Securities: Buy United Spirits, sell TVS

Nifty outlook and top trading ideas from Sacchitanand Uttekar, DVP – Technical (Equity), Tradebulls Securities:

Nifty Outlook:
Nifty did display some resilience & witnessed a bounce after facing relentless selling from 11,500 zone. The market breadth has not been that comforting while the volatility index continued to scale higher. On the pattern front, the index did witness a Harami formation on Tuesday session but the confirmation of the same is yet awaited in terms of an affirmative close. Hence, any non-sustenance above 10970 could unlock fresh pessimism & push the index towards its 200 DEMA placed around 10,780. As the broader trend looks weak pullback towards 11,170 zone should be used to create fresh shorts with a Stop above 11,310.

Stock: United Spirits
Reco.: BUY
CMP: Rs 533
Since May 2018 the stock has been declining within the bounds of a channel pattern. The wave formation within the pattern also resembles a Bullish Three Drives Harmonic structure. The support near 520 looks strong & a Bullish Harami formation confirms the same. Positional longs could be deployed with a stop below 505 & a move back to 600 could be witnessed in the coming month.

Stock: TVS Motor Company
Reco.: SELL
CMP: Rs 584
Rising wedge on the daily scale with the stock facing resistance near its 200 DEMA around 595. Shorts could be initiated below 575 with a Stop above 596 for a pattern target up to 545.

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Support for Nifty seen at 11,320, resistance at 11,440: Prabhudas Lilladher

Nifty outlook and few trading ideas by Vaishali Parekh, Research Analyst - Technical Research at Prabhudas Lilladher:

NIFTY VIEW
Nifty continues to consolidate since the past 3 days with a close nearly at the same level. The support for the day lies at 37,440/11,320 while resistance is seen at 37,830/11,440. Bank Nifty would have a range of 27,620-28,100.

BUY RECL
CMP: Rs 117.70
TARGET: Rs 136
STOP LOSS: Rs 106
The stock has made a good base at around 90 levels after a decent correction and has given a good bounce back and currently, the stock has been consolidating for quite some time at around 115 levels and gaining strength for a further rally.

BUY CHOLA FINANCE
CMP: Rs 1,438
TARGET: Rs 1,560
STOP LOSS: Rs 1,400
The stock has been moving around the significant 200 DMA moving average taking a good support and we anticipate a further upward movement in the coming days with RSI also consolidating around the oversold zone and gaining the potential to make a bounce in the upward direction.