Todays Pick

Rashtriya Chemicals and Fertilizers (₹81.2): Buy

Yoganand D BL Research Bureau | Updated on April 09, 2021

The stock of Rashtriya Chemicals and Fertilizers (RCF) gained 7.4 per cent accompanied by above average volume on Thursday, breaching a key near-term resistance at ₹78 as well as the 21-day moving average. With this rally, the stock appears to have resumed the intermediate-term uptrend that commenced from the base level of ₹42 in late November 2020. Investors with a short-term horizon can buy the stock at current levels.

The recent up-move has mitigated the corrective downtrend and the stock is on the brink of an upwards trend once again. It trades well above the 50-day and 200-day moving averages. The daily relative strength index is likely to enter the bullish zone from the neutral region and the weekly RSI continues to feature in the bullish zone backing the uptrend. Moreover, the daily price rate of change indicator has entered the positive terrain implying buying interest. The stock can continue to trend upwards and reach the price targets of ₹85 and ₹87 in the coming trading sessions. Traders can buy the stock with a stop-loss at ₹78.5.

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

Published on April 09, 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