BUY ESCORTS | GOAL: Rs 1,190 | STOP LOSS: Rs 1,070
The ESCORTS share has corrected from over 1,400 to its most recent low near the 1,100 mark. This has brought the stock below the oversold zone in a shorter period of time. At this point, the stock is trading near the potential reversal zone of a bullish harmonic pattern called “Butterfly”. For a medium term trader, this could be a perfect price for a period of 2 to 4 weeks. So; Traders are advised to buy the stock in the 1,120 to 1,100 range with a stop loss of 1,070 for the potential upside target of 1,190 in 2 to 4 weeks.
BUY PFC | GOAL: Rs 125 | STOP LOSS: Rs 96
The stock PFC was corrected from 140 by well over 20 percent. At this point she is hovering in support of 200 DSMA. In addition; The stock is currently trading near the potential reversal zone of a bullish harmonic pattern called the “Shark”. Traders are advised to buy the stock in the 108-104 range with a stop loss of 96 for the potential upside target of 125 in 2-4 weeks.
BUY MARUTI | GOAL: Rs 7,200 | STOP LOSS: Rs 6,350
The four-wheel drive giant had been in a strong correction mode for quite some time. Now the stock has crept below its 200 DEMA, but on the weekly scale it has tested its 200-week EMA, which is much stronger support. This support is consistent with Ichimoku cloud support. In addition; We are experiencing a bullish harmonic pattern of NEN STAR in MARUTI, which suggests that a good risk reward can continue for a long time. Traders are advised to buy the stock near 6,600 with a stop loss of 6,350 for the potential upside target of 7,200 in 3 to 5 weeks.
Disclaimer: Mehul Kothari is AVP – Technical Research at Anand Rathi Shares & Stock Brokers. Views are personal.
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