Investors with a short-term perspective can consider buying the stock of Gujarat Mineral Development Corporation. It is apparent from the charts of the stock that it found support at around its long-term base level of Rs 100 in early February this year and started to trend upwards. Since then, the stock has been on a medium-term uptrend. Last month, the stock took support at Rs 140 which is an important support level and resumed its uptrend. It is trading well above its 50- and 200-day moving averages.

On Wednesday, the stock reinforced its bullish momentum by jumping four per cent accompanied with excellent volumes. Both daily and weekly relative strength indices are hovering in the bullish zone. Moreover, daily as well as weekly moving average convergence divergence indicators are also in the positive territory signalling an upward momentum.

Considering that the stock's medium-term uptrend-line which is in tact, we are bullish on the stock from a short-term perspective. We expect it's up-move to prolong until it reaches our price target of Rs 166 or Rs 170.5 in the forthcoming trading sessions. Traders can buy the stock with stop-loss at Rs 156 levels.

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