Buy Bharat Forge Rs 177.30
We recommend a buy in Bharat Forge stock from a short-term trading perspective. After recording a multi-year low of Rs 69 this January, the stock formed a base consolidating sideways in the range of Rs 70 and Rs 90. The stock has developed a cup-and-handle formation between October 2008 and April 2009 that is a bottom reversal pattern. The stock has been on an intermediate-term uptrend, forming higher peaks and higher bottoms since January. In the middle of May, the stock conclusively penetrated its 200-day moving average and is trading way above this average. Reinforcing the uptrend, the counter jumped 13 per cent on May 28. Volumes are rising for the past three trading sessions. The daily and weekly relative strength indices (RSI) are featuring in the bullish zone. Our short-term outlook is bullish for the stock. We anticipate it to move up further until it hits our price target of Rs 195 in the approaching trading sessions. Traders with short-term trading perspective can buy the stock while maintaining a stop-loss at Rs 168.
Source:- businessline
