Akruti City

We recommend a sell in Akruti City stock from a short-term trading perspective. It is evident from the charts of Akruti City that after taking support at Rs 550 in mid-January, which is also a 52-week low, it bounced back. From this trough to the recent high at Rs 1,052, the stock has almost gained 91 per cent. However, the stock encountered significant resistance in the band between Rs 1,035 and Rs 1,050 recently. The daily relative strength index (RSI) has reached overbought levels. The stock reversed lower from this resistance band and declined 2 per cent on February 16. Moreover, with this decline we observe that the daily RSI is displaying a negative divergence. The daily moving average convergence and divergence indicator has also reached overbought levels. We are bearish on the stock from a short-term horizon. We anticipate it to decline further until it hits our price target of Rs 905 in the upcoming trading sessions. Traders with short-term perspective can sell the stock while maintaining a stop-loss at Rs 1,064.