Stock picks of the day for January 28, 2019

Wipro Ltd: Buy | Target: Rs. 371 | Stop-Loss: Rs. 330 | Upside: 5%

Wipro maintained an upward trajectory for the last one week despite a volatile market breadth and managed to swiftly move upward from its resistance zone of 50-days moving average placed at 330 odd levels on closing basis.

The stock also managed to break out from its 200-days moving average placed around 310 levels in the past session which forms a strong support base for scrip.

Initially, the scrip remained sideways and was consolidating in a price range of 340-307. The scrip formed a bullish candlestick pattern on both weekly and daily price chart.

The momentum indicator outlined a positive divergence in price with its RSI at 63 levels, coupled with MACD managing to make bullish crossover in same period to trade above its Signal-Line. We have a BUY recommendation for Wipro which is currently trading at Rs. 353.45

Graphite India Ltd: Sell | Target: Rs. 530 | Stop-Loss: Rs. 577 | Downside: 4%

Graphite India continued to trade in a negative trajectory for an extended period to fall below its crucial support of 670 odd levels in the previous session while it also breached its 200-days moving average on the downside placed at 818 levels.

The scrip continued to consolidate from a higher level of 1120-1050 odd levels towards a low of 770 levels, and made a strong rebound towards 1000 odd levels which failed in the later period.

The scrip made a 52-weeks low of 555 levels in the last trade which indicates sustain selling pressure. It formed a long bearish candlestick pattern on both daily and weekly price chart.

Further, weekly RSI stood at 29 odd levels indicating persistent selling regime, and MACD continued to trade above its Signal-Line. We have a SELL recommendation for Graphite India which is currently trading at Rs. 552.95

ICICI Prudential Life Insurance Ltd: Sell | Target: Rs. 290 | Stop-Loss: Rs. 310 | Downside: 3%

After remaining in a muted direction for the last 5-7 trading sessions, ICICI Pru Life Insurance came under massive selling pressure in the last four trading sessions to close below its crucial support of 200-days moving average placed at 350 odd levels, and also formed a 52-week low of 295 levels in last trade.

The scrip breached below all crucial moving average level in current trade despite making an attempt to reverse the trend which failed to keep scrip under selling regime.

The scrip formed a long bearish candlestick pattern on weekly price chart which indicates persistent selling pressure.

The momentum indicator continued to outline weak trend with weekly RSI at 37 levels while MACD started to trade below its Signal-Line in past sessions. We have a sell recommendation for ICICI Pru Life Insurance which is currently trading at Rs. 299.40