Divi’s Laboratories has given a break-out above its downward trend line around Rs 1,074-1,076 levels on Tuesday with higher volumes on the daily chart which suggest bullishness in the stock.
A daily momentum indicator Relative Strength index (RSI) reading at 55.12 level, showing positive momentum and MACD trading below zero line with positive crossover whereas (+) DI just crossover the (-) DI.
Based on the above observations, traders can buy the stock in the range of Rs 1,080-1,090 with a stop loss below Rs 1,030 (closing) for a target of Rs 1,160.
Disclaimer: The author is Research Analyst, Guiness Securities. The views and investment tips expressed by investment experts on moneycontrol.com are his own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
First Published on Jul 4, 2018 12:16 pm