The short-term outlook for the stock of Indian Bank is bullish. The uptrend has gradually gained momentum over the last couple of months. On Thursday, the stock had surged over 6 per cent to close above the psychological ₹200 mark. The supports are at ₹196 and ₹191. A much lower support is at ₹182. As such the downside can be limited. The stock can rise to ₹250 over the next four to six weeks.
Traders with short-term perspective can buy at current levels and accumulate the stock on dips at ₹197. Keep the stop-loss at ₹178. Trail the stop-loss to ₹208 as soon as the stock moves up to ₹216. Move the stop-loss further up to ₹225 when the stock touches ₹235 on the upside. Book profits at ₹245.
(Note: The recommendations are based on technical analysis. There is risk of loss in trading.)