Todays Pick

Minda Corporation (₹147.9): Buy

Akhil Nallamuthu BL Research Bureau | Updated on October 28, 2021

The stock of Minda Corporation, which has been rallying since the beginning of the year, entered a consolidation phase in June. That is, since June, it was largely oscillating within ₹125 and ₹145. But the stock has been rallying for the past few sessions and on Thursday, it broke out of the resistance at ₹145, opening the door for further strengthening.

The bullish outlook is substantiated by the price action – a rally followed by a consolidation phase and then a breakout. The breakout volume is significant, and the relative strength index (RSI) and the moving average convergence divergence (MACD) is showing a fresh uptick. Thus, the likelihood of further rally is high.

Traders can buy the stock at current level and accumulate if price corrects to ₹142. Place an initial stop-loss at ₹137. On the upside, the stock has the potential to reach ₹164 in the near-term. If the stock crosses over ₹155, revise the stop-loss upwards to ₹146. Similarly, if the rallies without falling to ₹142 and moves above ₹155, place a stop-loss at ₹146.

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

Published on October 29, 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