Technical Call 1 December 2009

Praj Industries (88.45)

After making swing high of Rs.96.40 stock is continuously making lower lows and yesterday Stock has formed “Morning Doji Star” bullish candlestick pattern on daily chart. Stock is on the verge of supply line breakout. Daily RSI, Stochastic exhibiting positive crossover and MACDh also showing strength. Looking at all above evidence trader can Buy above Rs. 89 with tight stop loss of Rs.86 for a Target of Rs. 96 plus.

Jaiprakash (226)

Stock is making lower lows after making swing high of 246 and yesterday stock has formed “White Opening Marubozu” with decent volume and closed on the verge of supply line breakout , which suggest strong up move in coming days. Daily RSI, Stochastic exhibiting positive crossover and MACDh also showing strength. Looking at all above positive sign trader can buy above Rs.228 with stop loss of Rs.223 for a Target of Rs. 239 plus.