The Hindu Business Line : Chart focus

The stock is in a major uptrend in the recent years. This move is not over as yet and there appears to be considerable ground to be covered on the upside.

The recent sideways price action witnessed over the past few weeks is a short-term correction within the overall upward move.

The corrective phase appears complete and the stock could move to the immediate target zone at Rs 510-520.

Investors willing to wait for a relatively longer time frame may get exit opportunities at Rs 590-600. The short-term positive outlook would be negated on a close below Rs 452.

A close below this level would delay the progress towards the target zone and would not negate the long-term positive outlook.

CESC (Rs 335)

After a sharp upward move, the share price has been in a consolidation phase in the recent weeks.

This phase appears to have been completed on Friday. The next leg of the uptrend has gotten underway which could take the share price to Rs 375-380.

Investors willing to wait for a longer time period may find an exit avenue at Rs 450-460.

The positive outlook would be negated on a close below Rs 307.

Investors may hold with a stop-loss at this level.

Fresh exposures may also be considered at prevailing levels as well as on declines, with the same stop-loss.

(Note: The analysis and opinion expressed in these columns are based on the technical analysis of the past price behaviour. Opinion and price targets are based on the Elliott Wave Analysis. The stop-loss level provided with the recommendation is important. The original view would stand negated if the stop-loss level is breached. There is a risk of loss in trading)

More Stories on : Technical Analysis | Stock Markets

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page