Nifty has completed its time equality pattern and ended its 10 weeks of triangle consolidation. This is perfect time equality to bring an end to the consolidation and begin a directional move in the index. Also, as per harmonic pattern, Nifty looks poised for the upside target of 15,000 until 14,200 is protected.
Top trading ideas
Analyst: Parag Shah – Technical Analyst, Research, Edelweiss Wealth Management
Bharat Forge: BUY
CMP: Rs 595.6
Target: Rs 625
Stop loss: Rs 575
Bharat Forge has made a good base around Rs 575 levels trapping the shorts at lower levels. The stock has also given a follow through to this trap breakout. A close above Rs 600 will bring further momentum in the stock.
HDFC Bank: BUY
CMP: Rs 1,438.7
Target: Rs 1,525
Stop loss: Rs 1,380
After a sharp fall in prices from levels of Rs 1,600, prices have now stabilized around Rs 1,350, forming a double bottom pattern. Recently, prices have given a swing breakout. A close above Rs 1,450 will lead to a sharp rally upwards.
CMP: Rs 6,434
Target: Rs 6,850
Stop loss: Rs 6,210
SRF has given a breakout from a classic bullish flag breakout. Prices have also broken out of a consolidation, which was between Rs 6,250 and Rs 6,000. Volumes registered on the breakout are above average.
CMP: Rs 1,505
Target: Rs 1,400
Stop loss: Rs 1,555
Colpal has broken below the lower end of the trading channel it was trading in. It has also made a lower swing low, indicating a weakness in prices.
Analyst: Sagar Doshi – Technical Analyst, Research, Edelweiss Wealth Management
- FIIs long exposure on index futures is at two months’ high. Their net position stands at 45,000 long contracts. The increase in long exposure near the start of the new series is a positive sign that can lead to shift in momentum.
- Option chain indicates Nifty trading range between 14500-14800. If Nifty starts trading outside this range, we can see huge momentum due to short covering by option sellers.
- Bank Nifty/ Nifty ratio chart is pointing towards bank nifty outperformance over Nifty.
Buy Bank Nifty 33,000 CE @ 608 and sell Bank Nifty 33,600 CE @ 352.
Combined spread of 256 with SL of 100 and target of 550.
Expiry: 6th May
Forex FX Technical
Analyst: Munjaal Raval – Technical Analyst, Research, Forex & Rates, Edelweiss Wealth
USD-INR Status: USDINR finds it difficult to sustain above 75.00 handle
Current Spot: 74.66
Call for the day: Sell on bounce around 74.90
Stop loss: 75.20
EUR-USD Status: EUR-USD manages to sustain above critical 1.20 handle creating room for further upside
Current Spot: 1.2060
Call for the day: Buy on dips around 1.2030
Stop loss: 1.1950
Analyst: Ankit Narshana, (Commodity Analyst, Research, Edelweiss Wealth Management)
- Buy silver above Rs 69,200; target: Rs 70,000; stop loss: Rs 68,600
- Sell copper at Rs 765; target: Rs 752; stop loss: Rs 775
- Sell gold below Rs 47,000; target: Rs 46,300; stop loss: Rs 47,350