The Hindu Business Line
Bharat Electronics (₹100.9): Buy
Breaking above a key barrier at ₹98, the stock of Bharat Electronics gained 5 per cent accompanied by extraordinary volume on Tuesday.This rally provides traders with a shortterm perspective an opportunity to buy the stock at current levels.
Since taking support at the significant long-term support level of ₹75 in early February, the stock has been in a short- to medium-term uptrend. The recent rally has decisively breached the 200-day moving average and hovers well above it. The stock appears to have resumed its short-term uptrend after a small pause around ₹95.
The daily relative strength index has re-entered the bullish zone from the neutral region and the weekly RSI is on the brink of entering the bullish zone from the neutral region.
The short-term outlook is bullish for Bharat Electronics. The stock can rally further and hit the price targets of ₹105 and ₹107 in the short term. Traders can buy with stop-loss at ₹98.5.
(Note: The recommendations are based on technical analysis. There is a risk of loss in trading.)