Buy Bajaj Auto Limited
Last close: Rs 3,678.35
Initiation range: Rs 3,650-3,665
Target: Rs 3,770
Stop loss: Rs 3,600
Within the auto space, Bajaj Auto has witnessed decent correction from its record high and is currently hovering around the support zone of medium-term moving average(100 EMA) on the daily chart. The oversold positions combined with the existense of support are pointing towards the possibility of a rebound soon. Traders shouldn’t miss this opportunity and create fresh longs in the mentioned zone.
Buy Britannia Industries Limited
Last close: Rs 3,568.40
Initiation range: Rs 3,535-3,550
Target: Rs 3,740
Stop loss: Rs 3,460
BRITANNIA has been seeing correction for the last nine months, after making a new record high at 3,940.44, in July 2020. It has recently tested the monthly support zone around 3,300 and is witnessing a gradual rebound. Indications are in the favor of prevailing recovery to continue and possibly the resumption of the uptrend too. We, thus, suggest traders to initiate fresh long positions in the given range.
Sell April Futures of Motherson Sumi Systems Limited
Last close: Rs 212.50
Initiation range: Rs 212-214
Target: Rs 197
Stop loss: Rs 221
MOTHERSUMI has witnessed a breakdown from a distribution pattern on the daily chart and is likely to test the support zone of the short-term moving average(50 EMA) soon. The prevailing corrective phase in the benchmark combined with the mixed indication from the auto index is further adding to the negativity. We thus advise creating fresh shorts in the given range.
Disclaimer: Ajit Mishra is VP - Research at Religare Broking
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
RECOMMENDED FOR YOU