The latest analysis and commentary by stock market guru Ashish Chaturmohta of Sanctum Wealth Management on what is moving the markets today.
He shared his views and readings on Pidilite Industries, SRF, Kaveri Seed.
Talking about stocks, he said, “If you look at Pidilite Industries from the start of this series, the stock has seen almost 13 percent open interest (OI) jump in terms of buildup of positions. Slowly we are seeing some gradual price move which indicates that the open interest has significantly moved up. However, prices are slowly and steadily moving up which clearly indicates a lot of long accumulation is has happened. Technically the stock has been consolidating for last 4 weeks near its 52 week high. So putting all together, I think there is a strong upside which one can expect in Pidilite Industries. On downside one should keep Rs 1,165 as a trading stop loss and upside on a very short term basis Rs 1,230 would be my short term target. Positionally believe the kind of structure or kind of open interest position is being created, stock is headed towards Rs 1,280-1,300 kind of zone on a positional basis."
“SRF has given a very strong momentum. On Friday’s trading session we have seen almost 8 percent OI jump and if you look at from the beginning of the month, then almost 18 percent OI jump has already been seen in the stock. Stock has hit its all-time high after consolidating for almost last 12 months. So now it is entering into a fresh upside momentum. On upside Rs 2,520-2,540 could be a short term target and on downside Rs 2,420 would be my trading stop loss for going long into SRF,” he added.
Chaturmohta recommended a short call on Kaveri Seed. He said, “Stock has seen some jump in last 3-4 weeks, but the overall momentum suggests that on a higher level we are going to witness a lot of short positions because on Friday’s session we have seen almost 8-9 percent OI jump and the prices have corrected almost 1.5 percent clearly indicating some kind of short buildup which has started building up in the stock. So this could be initiated as a short with a stop above Rs 475, on downside Rs 418-415 could be a short term target in Kaveri Seed.”Disclaimer:
The views and investment tips expressed by investment experts on CNBCTV18.com are their own and not that of the website or its management. CNBCTV18.com advises users to check with certified experts before taking any investment decisions.