On the daily chart, the stock formed a bullish (reversal) pattern last Friday. The price movement this week has confirmed the reversal pattern as the medium-term downtrend was broken.
The stock had been on a sustained downtrend from the first week of January 2009 from the levels of Rs44. Further the price is also supported by the RSI, which has bounced off strongly from mid 20’s and alongwith the increasing volumes.
We recommend traders to ACCUMULATE the stock between the price levels of Rs29-31 for a short-term target of Rs36 and Rs36. It is advisable to maintain a stop loss of Rs27.