Indus Fila

We recommend a buy in Indus Fila at current market price. It is evident form the weekly chart of Indus Fila that the stock has been steadily trending up since its IPO (March 2007). The stock broke out of a sideways consolidation range between Rs 190 and Rs 240 in November 2007 with a breakaway gap.

The weekly momentum indicator is featuring in the bullish zone and the daily momentum indicator is rising towards this zone. On the downside, the immediate support for the stock is at Rs 310 and the subsequent support is at Rs 270 levels. The stock is currently trading well above the 50-day moving average line and is likely to cross over the 21-day day moving average line. The short-term investors can buy the stock while keeping the stop-loss at Rs 320. We expect the stock to move up to the immediate resistance level of Rs 390 in the short-term. A conclusive breakthrough of this resistance level would lead the stock to a new life high.

Via Businessline