Comments
We recommend a buy in the stock of Kalpataru Power Transmission from a short-term horizon. It is seen from the charts of the stock that it has been on a medium-term uptrend from its 52-week low of Rs 64 registered in late August this year. Following a two-week sideways movement, the stock started to trend upwards.
On Wednesday, it surged 5.4 per cent, breaching its immediate resistance at Rs 90 and has strengthened its bullish momentum. This up move has also breached the stock’s 200-day moving average. It is hovering well above its 21- and 50-day moving averages. We notice that there is an increase in daily volumes in the last two trading sessions. The daily relative strength index is featuring in the bullish zone and weekly RSI is on the brink of entering this zone from the neutral region. The daily moving average convergence is hovering in the positive territory implying upward momentum.
Both daily and weekly price rate of change indicators are featuring in the positive area indicating buying interest. Our short-term outlook is bullish for the stock. We anticipate its current up move to continue and reach our price target of Rs 97 or Rs 99 in the approaching trading sessions. Traders with short-term perspective can consider buying the stock with stop-loss at Rs 91.
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.