Rolta India

We recommend a buy in the stock of Rolta India from a short-term trading horizon. It is evident from the charts of Rolta that it has been trending up, forming higher peaks and higher troughs since early March low of Rs 40. This low is apparently its 52-week low. However, after recording a high of Rs 152 on June 10, the stock was on a corrective decline till Rs 105 and found support. Taking support around Rs 105 the stock resumed its intermediate-term uptrend recently. The stock gained over 10 per cent over the past two trading sessions, reinforcing the uptrend. Both the daily and weekly relative strength index (RSI) are heading towards the bullish zone in the neutral region. Taking into consideration the intermediate-term uptrend line is intact and still in place, we are bullish on the stock from a short-term perspective. We expect it to move up further until it hits our price target of Rs 130 in the approaching trading sessions. Traders with a short-term perspective can buy the stock while maintaining a stop-loss at Rs 111.

via BL