Today's Pick - Monnet Ispat

We recommend a buy in Monnet Ispat from a short-term perspective. From the charts of the stock, we observe that it has been on a long-term up trend from its November 2006 low of Rs 143. Moreover, in the intermediate-term, the stock has been trending upward from its January 2008 low of Rs 360. Both long-term and intermediate-term up trend lines are intact. The daily and weekly momentum indicators are giving positive signals indicating that the stock is a good buy from a sho rt as well as a medium-term perspective. The volume has spurted higher over the past two trading sessions. The stock is presently trading well above the 50- and 200-day moving average. Considering the above facts, our near-term view on the stock is bullish and we expect it to rally to our price target of Rs 645 in the forthcoming trading sessions. Traders with short-term perspective can buy the stock while keeping the stop-loss at Rs 548.

via BL