We recommend a buy in the stock of Aegis Logistics from a short-term perspective. It is apparent from the charts of the stock that is has been on a medium-term uptrend after taking support at Rs 110 in late July this year. This upward reversal was triggered by positive divergence in the daily moving average convergence divergence indicator. In late September, the stock decisively breached its key resistance as well as its 200-day moving average at around Rs 140. The stock is hovering well above its 50- and 200-day moving averages. Following a near-term corrective decline, the stock took support at Rs 160 and resumed its uptrend two weeks back. Further, on Friday, the stock rose more than 3 per cent accompanied by extraordinary volumes, strengthening its uptrend. The daily relative strength index has entered the bullish zone from the neutral region while weekly RSI is featuring in this zone. Both daily and weekly price rate of change indicators are hovering in the positive area implying buying interest. We are bullish on the stock from a short-term perspective. We anticipate its rally to continue and reach our price target of Rs 185.5 or Rs 189 in the approaching trading session. Traders with a short-term perspective can consider buying the stock with stop-loss at Rs 174.5 levels.

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