The stock has broken out from a classic inverted Head & Shoulders formation on the daily chart.
Although, relatively small formation, it could end stock’s downtrend and lead to a start of a powerful rally. In the above formation, we have seen volume diminishing on the bottom around the levels of Rs435-445 and expanding on Friday on the breakout.
Moreover, the current uptrend is well supported by momentum oscillators. We expect the stock to continue its uptrend and it could attempt the levels of Rs530 in the short-term.
Traders can BUY the stock in the range of Rs500-510 with a stop loss of Rs495.