Bharat Electronics is likely to a fresh leg of rally in the coming days. The stock has been in a strong uptrend since April this year. The upmove paused in mid-June and the stock price has been consolidating since then. The 3.6 per cent rise on Tuesday signals that the overall uptrend can resume going forward.
Bharat Electronics’ share price can rise to ₹137-140 over the next couple of weeks. Immediate support is at ₹125. Below that, ₹123 – the 21-Day Moving Average is the next strong support. Traders can go long now. Accumulate on dips at ₹126.50. Stop-loss can be kept at ₹121. Trail the stop-loss up to ₹129 as soon as the stock moves up to ₹132. Move the stop-loss further up to ₹133 when the price touches ₹135. Exit the long positions at ₹137.
(Note: The recommendations are based on technical analysis. There is risk of loss in trading.)