STOCK STRAT­EGY

BSE Code ...... 531162 Tar­get 1 .... ₹1300 | Tar­get 2 .... ₹1345 | Sto­ploss ... ₹1110(CLS)

Flash News Investment - - TECHNICALS -

Cur­rent Ob­ser­va­tion: The stock, af­ter reg­is­ter­ing low of Rs 428 in the month of May 2014, en­tered into a strong bull phase and marked high of Rs

1365 in the month of Au­gust, 2015. Since then the stock started mov­ing in a broad band and formed ‘higher lows, lower highs’ pat­tern, thus re­sult­ing in for­ma­tion of ‘Sym­met­ri­cal Tri­an­gle

Pat­tern’

At present, the stock has wit­nessed break­out of sym­met­ri­cal tri­an­gle pat­tern, along with de­cent vol­umes. The stock has been trad­ing above its short term mov­ing av­er­age, i.e. 21-day EMA.

Among the os­cil­la­tors, the weekly 14-pe­riod RSI has en­tered into bullish zone and is on a ris­ing tra­jec­tory. The level of Rs 1110 is likely to act as a strong sup­port and this could be main­tained as a stop loss for long po­si­tions. On the up­side, the stock is likely to touch lev­els of Rs 1300-1345.

Con­clu­sion: Con­sid­er­ing the break­out of sym­met­ri­cal tri­an­gle pat­tern and the stock trad­ing above its 21-day EMA, we rec­om­mend buy­ing this stock for tar­get price of Rs 1300-1345 with stop loss at Rs 1110 level.

EMAMI

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.