Todays Pick

Equitas Small Finance Bank (₹68.6): BUY

Gurumurthy K BL Research Bureau | Updated on October 11, 2021

The 6.9 per cent surge on Monday has strengthened the upmove in the stock of Equitas Small Finance Bank. There is an immediate resistance at ₹72.50. Supports are at ₹65.50 and ₹64. Inability to break above ₹72.50 can immediately pull the stock down and keep it in a range of ₹64-₹72.50 for some time.

However, the bias will continue to remain bullish. Dips to ₹65-₹64 are likely to get fresh buyers coming into the market. As such the stock is likely to break ₹72.50 eventually and rise to ₹81-82. Traders with a short-term perspective can go long at current levels. Accumulate longs on dips at ₹66. Keep the stop-loss at ₹62. Take profit at ₹80.

Trail the stop-loss up to ₹71 as soon as the stock moves up to ₹73.50. Move the stop-loss further up to ₹75.50 as soon as the stock touches ₹78. Please note that if the resistance at ₹72.50 holds for now, the rise to ₹80 could be delayed. So, traders going long may have to wait patiently to book profits at higher levels.

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

Published on October 12, 2021

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

  1. Comments will be moderated by The Hindu Business Line editorial team.
  2. Comments that are abusive, personal, incendiary or irrelevant cannot be published.
  3. Please write complete sentences. Do not type comments in all capital letters, or in all lower case letters, or using abbreviated text. (example: u cannot substitute for you, d is not 'the', n is not 'and').
  4. We may remove hyperlinks within comments.
  5. Please use a genuine email ID and provide your name, to avoid rejection.

You May Also Like