The stock of Cholamandalam Investment and Finance Company has been charting a horizontal trend since October oscillating between ₹700 and ₹750. The stock rebounded from the support at ₹700 this week and although there was a minor decline on Thursday, the price action on the daily chart suggest that it could rally on Friday, the last trading session of this year.
We expect the scrip to touch ₹740 and traders can consider taking intraday buy positions. Stop-loss can be placed at ₹709. Book profits when the price rises to ₹740. But do not trade if the stock opens below ₹710 on Friday.
(Note: The recommendations are based on technical analysis. There is a risk of loss in trading.)