The Hindu Business Line : Positive outlook for key pivotals

SBI (Rs 923): The price action during the week was devoid of any trend. After a positive trend in the early part of the week, the trend turned bearish on Thursday. The stock, however, staged a sharp recovery on Friday.

The price movement during the week has not negated the positive view expressed last week. The stock appears on course to move to the Rs 1,050-1,100 range. Fresh exposures may be considered with a stop-loss at Rs 880. Investors holding the stock may have the stop-loss at Rs 860. Exposures may be enhanced on a close above Rs 935, with a close stop-loss in place.

Reliance Ind (Rs 849): The stock was an underperformer among the stocks that constitute the broad market indices. The price movement during the week has not invalidated the view of a rally to the Rs 910-920 range. The positive view would be invalidated on a close below Rs 810. Remain invested with a stop-loss at Rs 810. Fresh exposures may also be considered at prevailing levels and on declines, with a stop-loss at Rs 810. Evidence of resistance at the Rs 910-920 range would warrant dilution of holdings.

Tata Steel (Rs 368): The stock moved in line with expectations. The trend was bullish and share price moved closer to the target zone of Rs 395-400. After touching a high of Rs 385, the stock turned weak on Thursday. The near-term outlook remains bullish and the stock is likely to hit the target zone shortly. This view would be negated on a close below Rs 355. Hold with a stop-loss at Rs 354. Fresh exposures may also be considered with a stop-loss at Rs 354.

Satyam Computer (Rs 721): The stock ruled firm and also moved to the target zone of the Rs 715-720 range mentioned last week. The near-term outlook remains positive and a move to the Rs 780-790 range appears likely. Hold with a stop-loss at Rs 680. Fresh exposures may also be considered on a close above Rs 730, with a stop-loss at Rs 700. The positive outlook would be negated on a close below Rs 680.

Infosys (Rs 2,989): The share price moved in line with last week's expectations. It ruled firm and moved to the target zone of Rs 2,950-2,960 mentioned last week. The recent price pattern indicates that the current rally would continue for a while. The stock could move to Rs 3,130-3,150.

Stop-loss for long positions may be placed at Rs 2,850. Fresh long positions may also be taken with the same stop-loss.

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Praj Industries (Rs 108): The stock was confined to a narrow trading zone. After a weak trend in the first four trading days, the stock turned bullish on Friday. The spurt in price was also backed by a rise in trading volume as well. The stock appears on course to move to the target zone of Rs 125-130 range.

The outlook would remain bullish till such time the stock trades above Rs 90. Remain invested with a stop-loss at Rs 90. Fresh exposures may also be considered with a stop-loss at Rs 95. Exposures may be enhanced on a close above Rs 111, with a stop-loss at Rs 95.

Harrisons Malayalam (Rs 100): After a strong upward move on Monday, the stock went into a corrective phase in the next three days. The trend turned bullish on Friday and the index closed on a firm note at Rs 100.1 for the week. The outlook for the stock remains positive.

The recent price pattern has not negated the short-term positive outlook mentioned last week. The stock appears on course to move to target zone at Rs 130-135. Remain invested with a stop-loss at Rs 85. Fresh exposures may also be considered at prevailing levels and on declines, with a stop-loss at Rs 85.

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