Stock picks of the day for October 15, 2018

Zee Entertainment | Rating: Buy | Target: Rs 495| Stop-loss: Rs 430 | Upside: 6 percent 

Zee Entertainment consolidated for last six-month from a higher price-band of Rs 599 towards a low of Rs 414 with about 31 percent correction in this period.

However, the scrip witnessed a strong upward reversal in the last one-week despite a negative market momentum, and also managed to break-out from 20-days EMA level placed at Rs 454.

There was a substantial volume growth of 45.78 percent (one month) at the current level which translates to a reversal in trend. The RSI stood at 56 inching upward while MACD had no significant formation.

Bajaj Finance | Rating: Buy | Target: Rs 2,392 | Stop-loss: Rs 2,260 | Upside: 5 percent

Bajaj Finance remained on uptrend trajectory in the last six months but it witnessed a healthy consolidation in one-month from a high of Rs 2,679 towards a low of Rs 1,974 which translates to fall of about 26 percent.

During the last one week, the scrip managed to rebound to break upward from its 200-days EMA placed at Rs 2,192 and made a fresh rally.

The momentum indicator outlined a positive trend at the current price with weekly RSI at 55 and gradually moving upward, while MACD continued to trade above its signal line.

HCL Tech | Rating: Sell | Target: Rs 956 | Stop-loss: Rs 1,010 | Downside: 3 percent

HCL Tech continued to remain under selling regime over last one-month slipping below its long-term crucial levels during last week and it is currently trading near its 52-week low of Rs 824. The scrip broke below its 100-days moving average of Rs 1,010 and it is likely to breach below its 200-days EMA at Rs 974 which will further provoke selling.

Along with a formation of lower band on the daily price chart, it also saw a subdued volume growth down by 5 percent in the same period. The RSI stood at 29 while MACD continued to trade below its signal line, indicating a selling regime.