Infosys (₹1089.3)
Infosys skyrocketed on better-than-expected June quarter results and closed the week with 8.7 per cent gains. This rally has conclusively breached the key resistances at ₹1,000 and ₹1,030. Moreover, the stock has also breached its 50- and 200-day moving averages and hovers well above them. The indicators are in the positive zone. However, the stock encountered another important medium-term resistance at ₹1,100. It now tests this level and can continue to do so. An emphatic breakthrough of ₹1,100 can take the stock northwards to the subsequent resistance band between ₹1,160 and ₹1,170 in the medium term. Therefore, investors with a short-term perspective should tread with caution and those with a medium-term view can buy the stock on dips with a stop-loss at ₹1,050. But a strong fall below ₹1,050 can reverse the short-term uptrend and the stock can then decline to ₹1,030 levels. Next support is at ₹1,000 .
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