MENU

Published on 29/06/2020 11:53:41 AM | Source: ICICI Direct

Stock Picks - Gujarat Gas, Persistent Systems And Tata Elxsi by ICICI Direct

Follow us Now on Telegram ! Get daily 10 - 12 important updates on Business, Finance and Investment. Join our Telegram Channel  https://t.me/InvestmentGuruIndia 

Download Telegram App before Joining the Channel

Gujarat Gas

Technical Observations

*  The share price is in secular up trend forming higher peak and higher trough in all time frame. During current week trade it has registered a breakout above the previous major high of February 2020 (| 313) signalling extension of the up move and offers fresh entry opportunity

* The breakout is supported by strong volume of more than three times the 50 days average volume of eight lakhs share per day indicating larger participation in the direction of trend

* We believe, the stock has strong support at | 290, as it is the lower band of the recent consolidation and 50% retracement of current up move (| 270 – 319), at | 290.

* Among oscillators, the daily MACD is in up trend and is seen rebounding taking support at its nine periods average thus supports the positive bias

* Based on the above technical observations we expect the stock to maintain positive bias and head towards | 340 levels in coming sessions as it is the price parity with the previous up move from | 228 to | 301 as projected from the recent trough of | 270 signalling upside towards | 340 levels

Buy Gujarat Gas Ltd @307.00-315.00 Target 340.00 SL 289.00

 

Persistent Systems

* The share price is in steady uptrend trading in a rising channel signalling sustained demand at elevated levels. The stock has recently rebounded taking support at the lower band of the rising channel thus offering fresh entry opportunity to ride the next up move

* The stock in the process has also closed above the 200 days EMA (placed at | 598) as can be seen in the adjacent chart signalling positive bias *  We believe, the stock has strong support at | 585, as it is the lower band of the rising channel and the 38.2% retracement of current up move (| 510 – 635), at |587.

* Among oscillators, the daily MACD in up trend sustaining above its nine periods average validating bullish bias

* We expect the stock maintain positive bias and head towards | 670 levels as it is the 80% retracement of the entire CY’20 decline (| 740-420) placed at | 670 levels

Buy Persistent Systems Ltd @610.00-622.00 Target 670.00 SL 582.00

 

Tata Elxsi

* The share price has logged a resolute breakout from a bullish pennant pattern signalling continuation of the positive trend and offers fresh entry opportunity

* The stock is in up trend forming higher high-low signalling positive bias. The base of the bullish pennant pattern is placed at the 20 days EMA highlighting strength

* The breakout is supported by strong volume of more than double of the 50 days average volume of six lakhs share per day indicating larger participation in the direction of trend

* We believe, the stock has strong support at | 840, as it is the lower band of the recent consolidation and the 50% retracement of current up move (| 740 – 943), at | 841.

* Among oscillators, the daily stochastic recorded bullish crossover above its three periods average, indicating positive bias

* We expect the stock to resolve higher and gradually head towards | 990 in coming sessions as it is the 161.8% external retracement of recent decline (| 943 to 847) placed at | 990 levels

Buy Tata Elxsi (TATELX) Ltd @ 880.00-895.00 Target 990.00 SL 840.00

 

To Read Complete Report & Disclaimer Click Here

 

For MoICICI Directre ICICI Direct Disclaimer http://icicidirect.com/disclaimer.html
SEBI Registration number is INZ000183631

 

Above views are of the author and not of the website kindly read disclaimer