The short-term outlook is bullish for Tejas Networks. The 5.6 per cent rally on Wednesday gives an early sign of a trend reversal of the downmove in place since October. Immediate resistance is at ₹660. A break above it can take the stock up to ₹700 initially over the next one-two weeks.
A further break above ₹700 see Tejas Networks targeting ₹750 over the next three-four weeks. Immediate Support is at ₹635. Below that ₹600 is the next strong support. Traders can go long at current levels. Accumulate longs on dips at ₹640. Keep the stop-loss at ₹610. Trail the stop-loss up to ₹680 when the stock moves up to ₹690. Move the stop-loss further up to ₹710 when Tejas Networks touches ₹720. Book profits at ₹730.
(Note: The recommendations are based on technical analysis. There is risk of loss in trading.)