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B. Krishnakumar

Reliance Ind (Rs 564.4): The stock managed to hold above the crucial stop-loss level of Rs 539. After a weak trend in the early part of the week, the stock staged a sharp recovery on Friday. The short-term trend appears positive and a move to the Rs 575-580 range is on the cards. The stock is likely to move to the Rs 605-610 range before embarking on a major downward trend. Remain invested with a stop-loss at Rs 545. A close below Rs 545 would impart weakness and also blunt the view of a rally to the Rs 605-610 range. Fresh long positions may be considered on price weakness with a stop-loss at Rs 545.

Tata Power (Rs 361.6): The stock sought support at the crucial support level of Rs 335-338 that was mentioned last week. As anticipated, it managed to stage a recovery and closed on a positive note on Friday. The short-term trend appears positive. The stock, however, is likely to drop to the Rs 330-335 band on the completion of the expected short-term bounce to the Rs 369-371 range. Hold with a stop-loss at Rs 334. Fresh buying may be avoided. The possibility of a drop to lower levels would be negated if the stock closes above Rs 382.

Hindustan Lever (Rs 132.2): Despite the positive sentiment that prevailed in the last couple of days, the price trends in this stock were lacklustre and it did not attract significant buying interest. The stock has managed to hold above a crucial support level at the Rs 127-128 range. The trend would be positive till such time the stock price stays above this zone. A close below Rs 127 would trigger the earlier bearish view and would validate the possibility of a drop to the Rs 105-110 range. Remain invested with a stop-loss at Rs 128. The stock faces resistance at the Rs 137-138 range.

HDFC (Rs 716.8): The stock moved in line with expectations. After dropping to the support zone, the stock staged a recovery on Wednesday. In line with past trends, the stock continued to move against the direction of the market indices. The stock ruled weak in the last couple of trading sessions while the Nifty and the Sensex gained ground. The stock faces resistance at the Rs 735-740 range and the support lies at the Rs 670-675 band. Shareholders may remain invested with a stop-loss at Rs 690.

Infosys (Rs 2243.6): The stock managed to hold above the stop-loss level of Rs 2130. The short-term outlook appears positive and a move to the Rs 2265-2270 range appears likely. A close above Rs 2270 would impart strength and the stock could seek the Rs 2335-2340 range. Hold with a stop-loss at Rs 2200.

Follow-up

Great Eastern Shipping (Rs 158.9): The stock ruled weak as anticipated last week. It, however, reversed direction ahead of the projected target zone of Rs 135-140. The recent price pattern suggests that the stock is geared to resume the next leg of the upward move.

The long-term trend for the stock remains bullish. Remain invested with a stop-loss at Rs 140. The immediate resistance for the stock is placed at the Rs 165-167 range. Partial profit booking may be considered on the evidence of resistance at this zone. A drop below Rs 150 would negate the positive outlook and would push the stock to the Rs 135-140 range.

Andhra Bank (Rs 110.3): Though the stock ruled weak, it failed to drop to the Rs 94-95 range. The possibility of a drop to this range still exists. The immediate resistance is placed at the Rs 114-115 range. A drop below Rs 102 would indicate that the stock could drop to the Rs 94-95 range. As the long-term outlook is positive, price dips may be used to take long positions with a stop-loss at Rs 95.

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