Technical Analysis

Hexaware Technologies (₹380.2): Buy

Yoganand D BL Research Bureau | Updated on August 16, 2019 Published on August 15, 2019

The stock of Hexaware Technologies had gained 5 per cent over the last two trading sessions, breaking above a key medium-term resistance at ₹368. This rally gives traders with a short-term perspective an opportunity to buy the stock at current levels.

Following a corrective decline in late June and early July, the stock began to move sideways in a narrow band between ₹345 and ₹368 until recently. With above average volume, the stock had moved out of this range on the upside. Also, the stock had breached its 21- and 50-day moving averages and trades well above these levels.

The daily relative strength index has entered the bullish zone from the neutral region and the weekly RSI is on the brink of entering the bullish zone from the neutral region. Moreover, the daily as well as the weekly price rate of change indicators are featuring in the positive territory implying buying interest.

With the recent rally, the stock appears to have resumed it medium-term uptrend that has been in place since this March. Overall, the short-term outlook is bullish. The stock can continue to trend upwards and reach the price targets of ₹396 and ₹403 in the ensuing trading sessions. Traders can buy with a stop-loss at ₹372.

(Note: The recommendations are based on technical analysis. There is a risk of loss in trading.)

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Published on August 15, 2019
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