Todays Pick

Aarti Industries (₹948.1): Buy

Akhil Nallamuthu BL Research Bureau | Updated on August 02, 2021

The stock of Aarti Industries, which declined in January this year after facing a hurdle at ₹680, found support at ₹560 by early February.

It started to gain gradually and picked up momentum. As a result, the scrip breached the barrier of ₹680 during the first week of April and accelerated upwards. While it slowed down after reaching ₹900 in May, it moved above that level in June. However, it could not sustain above those levels and declined.

Thus, the price action since May shows that the stock has largely been in a broad sideways trend between ₹830 and ₹930, although with a bullish bias.

That said, the stock gained considerable traction last week and broke out of both ₹900 and ₹930 with good volumes.

On Monday, the stock remained above that level and in fact, it posted a marginal gain, indicating that the breakout is not likely to be nullified. Moreover, indicators like the RSI and the MACD are showing bullish signs. Hence, traders can buy with stop-loss at ₹924; target at ₹990.

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

Published on August 03, 2021

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

This article is closed for comments.
Please Email the Editor

You May Also Like