Television Eighteen

Investors with a short-term trading perspective can consider buying the stock of Television Eighteen India. This stock was in a medium-term down-trend since last June. This down-move resulted in the stock giving up most of the gains recorded since the March 2009 trough. The stock however getting strong support in the zone between Rs 69 and Rs 72; it has managed four upward reversal from this area since November last year.

Another such up-move is currently in progress since the trough of Rs 72 formed on March 26. Simple extrapolation of this up-move implies that the stock could move at least 5 per cent higher from these levels. The daily moving average convergence divergence oscillator and the rate of change oscillator have moved well in to the bullish zone. The 14-day relative strength index is however in the overbought region at 72. Short-term investors can buy the stock with stop at Rs 82. Targets for this time-frame are Rs 86 and Rs 88.

via BL