The investor with a short-term view can buy the stock of Cyient at current levels. The stock has been in a short-term since registering a 52-week low at ₹184 in late May this year. While trending up, the stock had conclusively breached a key resistance at ₹240 in late June. But, after that, it had encountered a key resistance at around ₹280 and continued to move sideways until recently.

After taking support at ₹250 recently, the stock continued to trend upwards. On Thursday, it jumped 5.7 per cent accompanied by above-average volume, decisively breaking above a key resistance level of ₹280. Also, the stock trades well above its 21- and 50-day moving averages. There has been an increase in daily volume over the past three weeks.

The daily relative strength index has re-entered the bullish zone from the neutral region and the weekly RSI features in the neutral region. Moreover, the daily price rate of change indicator has entered the positive terrain implying buying interest, and the weekly indicator hovers in the positive terrain.

The stock appears to have resumed its short-term uptrend and the outlook is bullish. It can extend the uptrend and hit the price targets of ₹296 and ₹302 in the forthcoming trading sessions. Traders can buy the stock with a stop-loss at ₹277.5 levels. (Note: The recommendations are based on technical analysis. There is a risk of loss in trading.)

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