Todays Pick

Uflex (₹456.5): Buy

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

Investors with a short-term horizon can buy the stock of Uflex at current levels. Since the stock found support at ₹118 in March 2020, it has been in a long term uptrend. While trending up, the stock took support at ₹300 in October 2020 and continued to trend upwards. Medium as well as short-term trend are up for the stock.

In early May this year, the stock breached a key resistance at ₹400 and continued to trend upwards with a minor pause at around ₹440 levels. On Wednesday, the stock gained 3.8 per cent accompanied by above average volume and has resumed the short-term uptrend. It hovers well above the 21- and 50-day moving averages.

The daily relative strength index has re-entered the bullish zone from the neutral region and the weekly RSI continues to feature in the bullish zone. Moreover, the daily price rate of change indicator has entered the positive territory implying buying interest. The short-term forecast is bullish for the stock. It can extend the rally and reach the price targets of ₹372 and ₹378 in the forthcoming trading sessions.

Traders can buy with a stop-loss at ₹349 levels.

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

Published on June 10, 2021

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