Top Trading Picks - July 22, 2010

Posted by admin in Mid Term Picks, Trading on Jul 21st, 2010 | no responses

Check out the top five picks of the day by Shrikant Chouhan, Sr. Vice President (Technical Research), Kotak Securities

HPCL

RECOMMENDATION: BUY
Last Close: Rs 441
Target: Rs 470
Stop Loss: Rs 430
The stock has seen an uptrend and is in a pull-back mode. It may touch the previous high of `500. The volume and price indicators are moving simultaneously, which indicates bullish consolidation and the next bigger move.

Jindal Steel & Power

RECOMMENDATION: BUY
Last Close: Rs 636
Target: Rs 660
Stop Loss: Rs 618
The stock is close to its multi support area `600/620. Due to the upmove in the stock, we see an opportunity to buy it, with a upward target of `660. When correlated to the positive Shanghai Index, the metal stocks may outperform in the near-term.

Indiabulls Real Estate

RECOMMENDATION: BUY
Last Close: Rs 167
Target: Rs 183
Stop Loss: Rs 162
Indiabulls Real Estate is in rounding bottom consolidation and has crossed the falling/supply trendline at `165 due to momentum in the real estate sector. The RSI is diverging positively, indicating potential buying euphoria. The near-term target is `183.

Bajaj Hindustan

RECOMMENDATION: SELL
Last Close: Rs 113
Target: Rs 102
Stop Loss: Rs 117
As the stock has not retraced 25% of the entire fall between `243 and `98, it indicates weakness. With weekly lows of `116.5, one can sell short, with a stop-loss at `117 for a target of minimum `102 and maximum of `98.

MphasiS

RECOMMENDATION: SELL
Last Close: Rs 616
Target: Rs 580
Stop Loss: Rs 635
As the stock has diverged negatively on daily and intraday basis, it indicates weakness. If there is further weakness, in the short term, the stock may fall to `602 and a further decline in the stock, may push it to `580 levels.