Stock picks of the day for December 05, 2018

Tata Consultancy Services Limited: Buy| Target: Rs 2180| Stop Loss: Rs 1890| Return 9%

After taking support at its 200-days exponential moving average, it formed a double bottom pattern on the daily charts. The stock witnessed a sharp short covering in prices and once again reclaimed Rs 2000 levels.

In Tuesday’s session, the stock has given a fresh breakout above the rectangle pattern along with positive divergence on secondary indicators. Traders can accumulate the stock in a range of Rs 2000-2015 for the upside target of Rs 2180 levels and a stop loss below Rs 1890.

TVS Motor Company Limited: Buy| Target: Rs 611| Stop Loss: Rs 525| Return 9%

After testing 480 levels in the recent past, the stock witnessed a sharp recovery from lower levels and has once again reclaimed 550 levels in a short span of time.

On the daily charts, the stock has formed an inverted head and shoulder pattern and is on the verge of a breakout above its neckline. It has risen above its 100-days exponential moving average on the daily interval chart.

Any breakout in prices may further add upside momentum in prices which could take the stock higher. Traders can buy the stock above the breakout level of 560 for the upside target of 611 levels and a stop loss below 525.

INOX Leisure Limited: Buy| Target: Rs 250| Stop Loss: Rs 210| Return 11%

After making a double bottom pattern on the daily charts, the stock recovered sharply from lower levels and tested 230 levels. On daily charts, the stock has made a symmetrical triangle pattern and has managed to give breakout above the same this week.

The breakout has been witnessed with marginally higher volumes which suggest strength in current move. Traders can accumulate the stock in a range of 225-230 for the upside target of 250 levels and a stop loss below 210.