Gati and Adani Enterprises are Friday's stock picks: Manas Jaiswal, Manasjaiswal.com

In a chat with ET Now, Manas Jaiswal, Manasjaiswal.com, says if Nifty breaks 7770, then possibly you may see further correction and in that case Nifty can go down and retest 7500. Edited excerpts



ET Now: What do you think of the charts?

Manas Jaiswal: For the last seven-eight trading sessions, Nifty was taking support near the 7800 mark but finally it broke 7800 yesterday. But I think one should keep a close watch on 7770 because 7770 is 200-day moving average and the neckline of head and shoulder pattern. So if Nifty breaks 7770, then possibly you may see further correction and in that case Nifty can go down and retest 7500. So if you are long, then keep a stick stop loss below 7760. If you want to take a short call, then go short if Nifty breaks 7760 today and if you want to go long, then I think should wait for some next one or two trading sessions.

ET Now: What are your strategies for today?

Manas Jaiswal: First call is on Gati. Three months back, Gati made a low of Rs 94 and since then the stock is making higher tops and higher bottoms. On Thursday, it broke its 100-day moving average with higher volumes. So now it can test its 200-day moving average which is placed near Rs 137. So Rs 137 is the target one can buy with a stop loss of Rs 118.

The second call is on Adani Enterprises most of the Adani stocks are looking weak on the charts Adani Enterprises was facing lot of resistance yet to 50-day moving average for last three-four trading sessions. Yesterday it broke the support of Rs 72. We may see further downside in Adani Enterprises and it can test Rs 65. So one can go short with a stop loss of Rs 74.