Stock picks of the day for November 5, 2018

Nov 05, 2018, 03:05 AM

Hindalco Industries Ltd: Buy | Target: Rs 253 | Stop-Loss: Rs 238 | Upside: 5%

Hindalco remained in an uptrend trajectory during the last week after trading in a range-bound level over the last one month. It made a correction from price-band of Rs 253 levels towards a low of Rs 216, down by about 14 percent before initiating the current rally trend.

It managed to break out from its 200-day level placed at Rs 234 levels coupled with strong volume growth during past sessions and thus indicating a buying sentiment at the current level.

The momentum indicator outlined a positive trend at the current level with RSI at 57 levels gradually moving upward, while MACD is likely to make a bullish crossover in the coming session to trade above its signal line.

Marico Ltd: Buy | Target: Rs 352 | Stop-Loss: Rs 320 | Upside: 4%

After remaining in a consolidation phase for the last six months to decline from highs of Rs 381 towards a strong support zone of Rs 303-294 levels. Marico witnessed a strong reversal trend favoring upward rally for a consecutive session.

Marico managed to break out from its long-term moving average of 200-day EMA level placed at 330 levels during the last week and saw a substantial volume growth which favored the rally.

The momentum indicator outlined a positive trend at current levels with weekly RSI at 62 levels, while MACD is likely to witness a bullish crossover in the coming session to trade above its signal line. We have a buy recommendation for Marico which is currently trading at Rs 338.05.

Info Edge India Ltd: Sell| Target: Rs 1425 | Stop-Loss: Rs 1520 | Downside: 3%

Info Edge continued to remain under selling pressure throughout the week declining from a price band of Rs 1,620 levels toward a low of Rs 1,450 levels on the weekly basis.

The scrip further slipped from an important level of 50-day EMA placed at Rs 1,492 levels indicating a weakness on a short-term basis.

It further formed a bearish pattern on its daily price chart along with subdued volume growth. The RSI stood at 44 levels while MACD marginally trades above its Signal-Line which is expected to breach in the coming session. We have a sell recommendation for Info Edge which is currently trading at Rs 1,470.55.