Tata Motors, Marksans Pharma, Voda Idea: Trading strategies for the 3 stocks

Domestic benchmark indices settled with marginal cuts and closed flat on Wednesday amid rising global fears over recession. Sensex shed 10 points, or 0.02 per cent, to settle at 60,105.50. Nifty50 declined 18.45 points, or 0.10 per cent, to 17,895.70.

Despite the volatile trading session, select stocks including Marksans Pharma, Tata Motors and Vodafone Idea were on traders’ radar. Here is what Laxmikant Shukla, Technical Research Analyst at YES Securities said on the three stocks:

Marksans Pharma | Buy | Target Price: Rs 78 | Stop Loss: Rs 57

Since the last 5-6 months, the scrip is consolidating within a broad trading range Rs 64- 57 levels, indicating a strong consolidation. The stock has recaptured 20-, 50-, 100- and 200-day SMA and is sustaining above the same. At present, the stock has given a breakout from its falling wedge pattern. This breakout is accompanied with rising volumes, indicating increased participation at current levels. The daily and weekly strength indicators have given positive crossover, which implies strength. Traders should buy, hold and accumulate this stock with an expected target of Rs 72 and Rs 78 levels with downside support of Rs 57.

Tata Motors | Buy | Target Price: Rs 430-450 | Stop Loss: Rs 380

The stock has recently started gaining traction and breached its lower band of consolidation rectangular channel, portraying a bullish breakout. The surge has been backed by decent volumes supporting the optimistic view in the scrip. In coming sessions, it can face stiff resistance near its 200-DMA, which also coincides with a falling trendline on the daily chart that is placed around Rs 427-430 zone. A decisive breakthrough above the same could only set a new rally. Therefore, traders should wait for the dip towards Rs 405-400 levels for initiating long position in it with the stop loss of Rs 380. They can wait for the target of Rs 430 and Rs 450 levels.

Vodafone Idea | Neutral | Resistance: Rs 9-12 | Support: Rs 4-5

The stock has seen a correction of over 30 per cent in the past 4-5 months. Currently, the stock is hovering well below its major moving averages on the daily and weekly chart. On the lower end, the next support is placed around Rs 4-5 levels. On the higher end, Rs 9 is likely to be the first resistance followed by Rs 12.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Business Today)

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