Stock Picks of the Day on August 07, 2018

Kalyani Steel: Buy| LTP: Rs 282| Target: Rs. 305 | Stop-Loss: Rs 270 | Return 8% 

Kalyani Steel has given a bullish breakout on the daily chart on Monday by closing above the downward sloping trendline, adjoining the highs of 18-June-2018 and 10-July-2018.

It also managed to close above the resistance level of Rs 278 with higher volumes to close at a two-month high. The stock price is trading above its 5 and 20-day SMA indicating a bullish trend for the short to medium-term.

The momentum indicators and Oscillators like RSI and MACD are showing strength in the stock. Metal as a sector is doing well and looking good for the short-term. Therefore, we recommend buying Kalyani Steel for the upside target of Rs 305, and a stop loss placed below Rs 270.

UPL: Buy| LTP: Rs 656| Target: Rs. 690 | Stop-Loss: Rs 635 | Return 5%

UPL has given a breakout from the range of Rs 630-650 on the daily chart on Monday by closing above Rs 650 levels with the rise in volumes to close at a one-month high.

The stock price is currently trading above its 5 and 20-day SMA indicating a bullish trend for the short to medium-term.

The momentum indicators and Oscillators like RSI and MACD are also showing strength in the Stock. Therefore, we recommend buying UPL for the upside target of Rs 690, and a stop loss placed below Rs 656.

Deepak Nitrite: Buy| LTP: 250| Target: Rs 280 | Stop-Loss: Rs 235 | Return 12%

After forming a double bottom at Rs 215 levels during last month, the stock price has given a bullish breakout above the downward sloping trendline, adjoining the highs of 24-April, 25-June, 10-July and 01-August 2018.

The stock price also closed above its 200-day-SMA on Monday with higher volumes. The momentum indicators and Oscillators like RSI and MACD are showing strength in the stock for the short to medium-term perspective.

Therefore, we recommend buying Deepak Nitrite for the upside target of Rs 280, and a stop loss placed below Rs 235.