Aegis Logistics

Investors with short-term trading perspective can consider buying the stock of Aegis Logistics. The stock has been on a steady long-term uptrend since its March 2009 low of Rs 52, shaping higher peaks and higher toughs. This uptrend got accelerated in March 2010 at a level of around Rs 200 and recorded a 52-week high of Rs 341 on April 21. After a 50 per cent Fibonacci retracement of the accelerated uptrend, the stock found support at Rs 262. Subsequently, on May 18, the stock bounced up almost 12 per cent with high volume, which has reinforced its bullish momentum. The stock is trading well above its 50-day moving average. The daily relative strength index is on the verge of entering into the bullish zone from the neutral region whereas the weekly RSI is featuring in the bullish zone. Moreover, both daily and weekly moving average convergence and divergence indicators are hovering in the positive territory. We are bullish on the stock from a short-term perspective. We anticipate the stock's up move to prolong further until it hits our price target of Rs 326. Short-term traders can buy the stock with stop-loss at Rs 288.

via BL