EVER­EST KANTO CYLIN­DER .................. BUY ..................... CMP ₹49.55

Flash News Investment - - TECHNICALS -

BSE Code ...... 532684

Tar­get 1 .... ₹57 |

Tar­get 2 .... ₹64 |

Sto­ploss ... ₹42(CLS)

✓ Cur­rent Ob­ser­va­tion: The stock, af­ter reg­is­ter­ing high of Rs 49.25 in the month of July 2017, en­tered into a correction phase and the correction halted at the level of Rs 32.20, and there­after, a pull­back rally was seen which paused at Rs 42.30, and again the stock went into a correction, which got ar­rested at the level of Rs 32.65. This re­sulted into for­ma­tion of a dou­ble bot­tom pat­tern.

✓ At present, the stock has wit­nessed break­out as de­fined by the hor­i­zon­tal trend­line placed at the lev­els of Rs 49.25-49.50.

✓ Among the os­cil­la­tors, the weekly 14-pe­riod RSI has en­tered into bullish zone and is on a ris­ing tra­jec­tory af­ter mark­ing a low read­ing of 51.

✓ The level of Rs 42 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 57-64.

✓ Con­clu­sion : Con­sid­er­ing the break­out of hor­i­zon­tal trend­line and the stock trad­ing above its 21-day EMA, we rec­om­mend buy­ing this stock for tar­get price of Rs 57-64, with stop loss at Rs 42 level.

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