Hi
Wishing Everybody a very Happy New Financial Year 2012-13.
These are the Five Stock Picks for FY 13 ( charts attached )
1. ADITYA BIRLA NUVO
Stock has been consolidating since last 3 years almost in this 300 point range between 700-
1000. The lower part of the Red Rectangle as you see in this chart has weathered all storms
in the markets since last 3 years and has been tested 4 times but was not broken. The stock
needs to clear 1000-1050 hurdle on upside and sustain above it for targets 1300-1500 in short
to medium term
Investors should Buy on sustain closing above 1000-1050 range with stoploss
of 880 on closing basis and targets 1300-1500 in short to medium term
2. TATA STEEL
As seen in this chart the stock has been forming an Inverted
Head & Shoulder Pattern on the Daily charts with neckline placed
at 500 level which if broken can have bullish implications. The stock is
also getting support from the green trendline which can limit downside
in the stock & is currently placed around 445-450 levels. Stock if breaks
out from Inv HnS can head to 600-680 levels in short term
First indications of strength will come if stock moves above
475. Investors can Buy if it sustains/closes above 500
stoploss 470 on closing basis and targets 600-680 in short
term
3. Tech Mahindra
As you see in this chart the stock has broken out of 5 year old Red Trendline on weekly closing basis
and that too with huge vols ( highest in last 12 months) giving first signs of trend change. Stock has also
been in a green parallel channel of 300 points range since last 2 years. The confirmation of trend change
comes above 770-800 range if stock breaks out of this parallel channel then it can head to 1100-1150 in
medium term
Investors can Buy Techm EITHER on dips to 650-670 range with stoploss
of 580 on closing basis OR wait for confirmation above 770-800 range for
targets 1100-1150 in medium term
4. HDFC LTD
The stock has been an outperformer when compared to Bechmark Indices in FY12.
HDFC has been consolidating in a 150 point range since last 1 year and the stock
has seen jump in vol activity since last few weeks. Breakout will be confirmed if
stock manages to sustain/close above 730-740 range then it can head to 830-850
levels in short term
Investors can Buy HDFC if it manages to sustain/close above
730-740 range with stoploss of 695 on closing basis and targets
830-850 in short term
5. SINTEX
The stock after making a high of around 230 in 2010 has been falling
down and has found some support around 60-70 range during last
3 months. The stock is making a possible triangle formation on short
term charts & on the downside if it manages to stay above the blue
trendline placed at 80-81 levels it can head to 95-98 in extreme short
term. Real Test and Hurdle will come at 95-98 range when the prices
will reach upper end of triangle, if stock manages to take out this hurdle
then it can head to 120-130 levels in medium term
Investors can EITHER look to Buy very small qty (25-30%) in the range of
86-88 with small stop at 80 on closing basis OR wait/add for a confirmation
if stock sustains/closes above 95-98 for possible targets 120-130 in
medium term
Regards
Ankit
Technical Analyst
09899899989
Wishing Everybody a very Happy New Financial Year 2012-13.
These are the Five Stock Picks for FY 13 ( charts attached )
1. ADITYA BIRLA NUVO
Stock has been consolidating since last 3 years almost in this 300 point range between 700-
1000. The lower part of the Red Rectangle as you see in this chart has weathered all storms
in the markets since last 3 years and has been tested 4 times but was not broken. The stock
needs to clear 1000-1050 hurdle on upside and sustain above it for targets 1300-1500 in short
to medium term
Investors should Buy on sustain closing above 1000-1050 range with stoploss
of 880 on closing basis and targets 1300-1500 in short to medium term
2. TATA STEEL
As seen in this chart the stock has been forming an Inverted
Head & Shoulder Pattern on the Daily charts with neckline placed
at 500 level which if broken can have bullish implications. The stock is
also getting support from the green trendline which can limit downside
in the stock & is currently placed around 445-450 levels. Stock if breaks
out from Inv HnS can head to 600-680 levels in short term
First indications of strength will come if stock moves above
475. Investors can Buy if it sustains/closes above 500
stoploss 470 on closing basis and targets 600-680 in short
term
3. Tech Mahindra
As you see in this chart the stock has broken out of 5 year old Red Trendline on weekly closing basis
and that too with huge vols ( highest in last 12 months) giving first signs of trend change. Stock has also
been in a green parallel channel of 300 points range since last 2 years. The confirmation of trend change
comes above 770-800 range if stock breaks out of this parallel channel then it can head to 1100-1150 in
medium term
Investors can Buy Techm EITHER on dips to 650-670 range with stoploss
of 580 on closing basis OR wait for confirmation above 770-800 range for
targets 1100-1150 in medium term
4. HDFC LTD
The stock has been an outperformer when compared to Bechmark Indices in FY12.
HDFC has been consolidating in a 150 point range since last 1 year and the stock
has seen jump in vol activity since last few weeks. Breakout will be confirmed if
stock manages to sustain/close above 730-740 range then it can head to 830-850
levels in short term
Investors can Buy HDFC if it manages to sustain/close above
730-740 range with stoploss of 695 on closing basis and targets
830-850 in short term
5. SINTEX
The stock after making a high of around 230 in 2010 has been falling
down and has found some support around 60-70 range during last
3 months. The stock is making a possible triangle formation on short
term charts & on the downside if it manages to stay above the blue
trendline placed at 80-81 levels it can head to 95-98 in extreme short
term. Real Test and Hurdle will come at 95-98 range when the prices
will reach upper end of triangle, if stock manages to take out this hurdle
then it can head to 120-130 levels in medium term
Investors can EITHER look to Buy very small qty (25-30%) in the range of
86-88 with small stop at 80 on closing basis OR wait/add for a confirmation
if stock sustains/closes above 95-98 for possible targets 120-130 in
medium term
Regards
Ankit
Technical Analyst
09899899989
