Devang Shah, Technical Analyst at Angel Broking has recommended trading strategies on Indraprastha Gas (IGL), Aban Offshore (ABAN) and Indiabulls Housing Finance (IBULHSGFIN). He gave following rationale for technical strategies:
1. Indraprastha Gas (IGL)
View-Bullish
Last Close-Rs. 274.55
''On daily chart, we can see a formation of 'Channel pattern' due to recent consolidation, also a 'Bullish Engulfing' candlestick chart pattern on the downside which reflects uptrend in further coming sessions. Also, prices are well above moving averages such as 10DEMA and acting as a support which indicates a positive bias. Further, if we try to analyze 'Bollinger Bands' on daily chart prices are near upper band which clearly goes with our bullish stance on the counter. In addition, it is observed that among the oscillators, MACD is positive and RSI is in upward trend breaking the previous highs. Hence, we recommend buying this stock at current levels for a target of Rs 302 over the next 10-15 sessions. The stop loss should be fixed at Rs. 258.''
2. Aban Offshore (ABAN)
View-Bearish
Last Close-Rs. 102.20
''The stock has been an underperformer since last few weeks which is clearly reflecting 'Lower Top & Lower Bottom' on weekly chart. On the daily chart, prices are well below major moving averages i.e 20 & 50 DEMA indicating overall weakness in counter. Moreover, momentum oscillator i.e. 'RSI' is showing negative divergence, which indicates weakness in the stock and more downside can be seen in further coming sessions also MACD is negative which clearly goes with our bearish stance. Thus, we recommend a sell in this stock at current levels for a target of Rs 91 over the next 10-15 sessions. The stop loss should be fixed at 109.''
3. Indiabulls Housing Finance (IBULHSGFIN)
View-Bullish
Last Close-Rs. 1212.05
''In last few days, this stock has been consolidating in a range. On the daily chart, prices are well above 10 DEMA & 20DEMA which reflects short term bullishness in the counter. In addition, on daily chart, among the oscillators, MACD is positive also on weekly chart, we are witnessing a bullish crossover in RSI with its smoothened moving average. The stock is trading near the upper Bollinger Bands, which is a sign of strength in further coming sessions. Thus, we recommend buying this stock at current levels for a target of Rs.1326 over the next 10-15 sessions. The stop loss should be fixed at Rs. 1148.''
