UTV Software Communications zoomed almost 10 per cent on June 6, emphatically breaking out of a significant resistance level of Rs 680 which it was unable to break since April 7. The stock has settled with 11.4 per cent gains over the week, accompanied by extraordinary volumes. Since its February low of Rs 386, the stock has been on a medium-term uptrend. Long-term trend is also up since early 2009 trough. It is hovering well above its 21- and 50-day moving averages.

However, the stock is facing significant longer-term resistance at Rs 760. Strong move above this resistance will pave way for a rally to Rs 840 and then to Rs 920 in the intermediate-term. But inability to surpass Rs 760 in the near future can pull the stock down to Rs 680 and waver between Rs 680 and Rs 760 in the upcoming months. The stock has its next important supports at Rs 600 and Rs 520.

StanChart PLC — IDR (Rs 95)

Standard Chartered PLC was listed in June 2010. After a brief rally to Rs 125, it encountered resistance in August 2010. The IDR had been on a sideways consolidation phase from last August to June in the narrow band between Rs 110 and Rs 125. On June 6, it plunged 17.5 per cent with a downward gap, conclusively breaking through its key support at Rs 110 and Rs 100. The volume was heavy in that session.

It registered an all-time low of Rs 91.7 last week, which will act as an important support in the days ahead. Immediate resistance is at Rs 101.7 which is the floor of the recent gap. Key resistances are pegged at Rs 110 and Rs 115.

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