Adani Enterprises shares a 'Buy' for a target of Rs 2,550, says Kiran Jani

Kiran Jani, Head of Technical Research at Jainam Broking, says Adani Enterprises and Eicher Motors can be good stock bets for Tuesday. In an interview to BT TV, Jani suggested buying shares of Adani Enterprises at around Rs 2,490 for a target of Rs 2,550 level. He advised traders to keep a stop loss at Rs 2,459. Jani said Adani Enterprises had been trading in a small range for a considerable period but saw some spark on Monday. The stock saw an ascending triangle pattern breakout, which hints at upside ahead.

As far Eicher Motors is concerned, the stock has seen a breakout of an ascending triangle pattern on the daily chart. Besides, it has seen a rounding bottom pattern breakout on the intraday chart. The stock has performed well and after a recent price correction the momentum indicators have entered in the bullish zone, Jani said.

"We would like to go long, with a target of Rs 3,400 and a stop loss placed at Rs 3,334," Jani said.

Jani said Eicher Motors was struggling to get above the 200-day moving average. But on Monday, it closed at the moving average, indicating that the stock has bottomed out in the short term. Jani said the stock has hit a low of Rs 3,170 from a high of Rs 3,600. "Daily chart, volumes and rising open interest on the counter shows it is a swing trade. If the stock sustains above 200-day moving average, there are good chances that the stock may touch Rs 3,600 in the short term," Jani said.

As the session kicked off, shares of Eicher Motors were trading at Rs 3,373.70, up 0.24 per cent. Adani Enterprises, on the other hand, rose 0.30 per cent to 2,499.70 apiece.

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