Price Action Analysis:
The stock has taken support at the 1250-1300 zone. A triple bottom pattern has been formed in the weekly timeframe which indicates a bullish reversal in the medium term.
Moving Average:
The stock is trading below the 50 EMA for the past 3 months. Following a contrary approach, we anticipate the stock breaking out over the 50 EMA levels in the next 3 months.
Bollinger Bands:
The stock sits at the middle band of the Bollinger. The current band is at 1360-1288 zone. A bullish momentum can be seen once the 1360 level is broken with volume on account of low volatility trading.
Mool’s Outlook:
We anticipate a target of INR 1520 in the stock in the next 6-8 months, which reflects a 16% upside in the stock.
Stop Loss should be maintained at INR 1275
Disclaimer:
Mool Capital Limited is a SEBI Registered Research Analyst having registration no. INH000012449. This report has been prepared by Mool Capital Pvt. Ltd. and is solely for information of the recipient only. The report must not be used as a singular basis of any investment decision. The views herein are of a general nature and do not consider the risk appetite or the particular circumstances of an individual investor; readers are requested to take professional advice before investing. This document is not, and should not, be construed as an offer or solicitation of an offer, to buy or sell any securities or other financial instruments. This report should not be construed as an invitation or solicitation to do business with Mool Capital. Mool Capital and its affiliated company(ies), their directors and employees may; (a) from time to time, have a long or short position in, and buy or sell the securities of the company(ies) mentioned herein or (b) be engaged in any other transaction involving such securities and earn brokerage or other compensation or act as a market maker in the financial instruments of the company(ies) discussed herein or act as an advisor or lender/borrower to such company(ies) or may have any other potential conflict of interests with respect to any recommendation and other related information and opinions.
