Daily Trading Stock Picks - May 25

Posted by admin in Mid Term Picks, Trading on May 24th, 2010 | no responses

Check out top five trading stock picks of the day by Dharmesh Shah, Technical Analyst, ICICIdirect.com.

Shree Renuka Sugars Ltd

RECOMMENDATION:Buy
Last Close: Rs 55.95
Target: Rs 62
Stop Loss: Rs 52.50
The Shree Renuka Sugar has been seeing a good buying interest near Rs 51-53 levels for the past two weeks and has given a long-term trendline breakout. Oversold reading of oscillators and short-term moving averages point towards a technical bounce back.

Oriental Bank of Commerce

RECOMMENDATION:Buy
Last Close: Rs 328.75
Target: Rs 348
Stop Loss: Rs 319
The stock has formed a Morning Doji star near the previous swing low of Rs 314. A decisive move above Rs 332 will lead to Rs 345-348 in the short-term. Volume expansion during Friday’s trade depicts higher participation in the stock.

Glenmark Pharmaceuticals Ltd

RECOMMENDATION:Buy
Last Close: Rs 270.85
Target: Rs 285
Stop Loss: Rs 263
The stock has formed a bullish Island Reversal pattern. During the recent correction, the stock has taken support at the 200-day EMA, which is placed at 260 levels. Among oscillators, the 14 period RSI is giving a bullish crossover indicating strength.

Hindalco Industries Ltd

RECOMMENDATION:Sell
Last Close: Rs 145.60
Target: Rs 134
Stop Loss: Rs 152
The stock has formed a Bearish Engulfing candlestick pattern on the daily chart and has closed below the 200-day EMA, which is placed at 146. The stock is forming a lower top and lower bottom on the daily chart suggesting weakness and may slip to the next support near 134.

DLF Ltd

RECOMMENDATION:Sell
Last Close: Rs 263.25
Target: Rs 245
Stop Loss: Rs 272
The stock has formed a Bearish Engulfing pattern on the daily chart and is facing heavy bear assault on every rally. The stock is trading below its short-term moving averages with a strong ‘sell’ signal on the MACD oscillator.

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