We recommend a buy in the stock of CESC from a short-term perspective. It is seen from the charts of the stock that it has been on an intermediate-term uptrend since marking its 52-week low at Rs 186 in late December 2011. Last month, the stock took support at Rs 280, a key level and resumed its uptrend. Short-term trend is also up for the stock. It is hovering well above its 50- and 200-day moving averages. The stock has been inching higher backed with good volumes over the past four trading sessions and has breached a key resistance at around Rs 308.

The daily relative strength index is hovering in the bullish zone along with weekly relative strength index. Both daily and weekly moving average convergence divergence indicators are moving higher in line with the stock price implying upward momentum. The daily as well as weekly price rate of change indicators are featuring in the positive terrain signalling buying interest.

The stock's intermediate-term uptrend line is intact and we are bullish on the stock. We anticipate its rally to prolong and reach our price target of Rs 329 or Rs 338 in the forthcoming trading sessions. Traders with a short-term perspective can consider buying the stock with stop-loss at Rs 310.