Comments
We recommend a buy in the stock of Idea Cellular from a short-term horizon. It is evident from the chart of the stock that since taking support from Rs 72 in August 2012, the stock has been on a long-term uptrend, forming higher peaks and troughs. Medium-term trend has been up for the stock from its April low of Rs 102. Following a short-term sideways consolidation, the stock broke through a key resistance at around Rs 136 by gaining 2.7 per cent on Monday.
We notice that there is an increase in daily volume in the past two trading sessions. The stock is hovering well above its 21- and 50-day moving averages. The daily relative strength index has entered the bullish zone from the neutral region and weekly RSI is still featuring in this zone. The daily moving average convergence divergence indicator has signalled a buy. Our short-term outlook on the stock is bullish. We expect its up move to continue and reach our price target of Rs 145.5 or Rs 148.5 in the upcoming trading sessions. Traders with short-term perspective can consider buying the stock with stop-loss at Rs 136.5 level.
( Note: The recommendations are based on technical analysis. There is a risk of loss in trading.)
Comments
COMMENT NOW
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.