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Here’s why Mehul Kothari recommends to Buy Garden Reach, Praj Industries


BUY


Garden Reach Shipbuilders & Engineers (GRSE)


Buy Near: Rs 540


TargetL: Rs 590


Stop Loss: Rs 515


Similar to other shipping related stocks; even GRSE has been upbeat and is trading near its life time high. We witnessed a fresh breakout in the stock above Rs 535 and the pattern resembles a bullish symmetrical triangle. The price action is supported with decent volumes.


Thus, we advise traders to buy the stock near Rs 540 with a strict stop of Rs 515.


BUY


Praj Industries


Buy Above: Rs 387.50


Target: Rs 412


Stop Loss: Rs 375


During the past one month; Praj Industries has been in a corrective mode and has eroded around 17 per cent from the peak of Rs 461. The stock is a bit oversold on the daily time frame and has been consolidating above 200-day moving average since last few trading sessions. There is a possibility of bounce from here on.


Hence, we advise traders to buy the stock above Rs 387.50, with a strict stop of Rs 375.


(Mehul Kothari – AVP – Technical Research, Anand Rathi Shares & Stock Brokers. Views are personal).

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