Comments
We recommend a buy in the stock of India Cements from a short-term perspective. It is evident from the charts of the stock that after taking support at Rs 65 in November and December 2011, it reversed its trend strongly. Since then, the stock has been on a medium-term uptrend.
In January, the stock breached its 21-, 50- and 200-day moving averages and had trading well above them. The stock took support at Rs 88 in late February this year and resumed its uptrend. Short-term trend is also up for the stock. Strengthening this uptrend, the stock jumped seven per cent with heavy volume on Tuesday. Both daily and weekly relative strength indices are featuring in the bullish zone.
The stock's daily and weekly price rate of change indicators are hovering in the positive terrain implying buying interest. With both short- and medium-term uptrends intact, we are bullish from a short-term perspective. We anticipate the stock's rally to continue and touch our price target of Rs 119 or Rs 122.5 in the forthcoming trading sessions. Traders with short-term horizon can consider buying the stock with stop-loss at Rs 112.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.