The cement pack has been gradually inching higher for the last five months. Among the prominent names, Ambuja Cement
has formed a fresh buying pivot, after a marginal dip to the major support zone of multiple moving averages around 205 levels. Traders can consider initiating fresh longs in the given range.
We’re seeing noticeable traction in the defensive pack and Aurobindo Pharma
is also trading in line with the move. After making a new record high in August 2020, it retraced to the support zone of the medium-term moving average(100 EMA) on the daily chart and formed a base. All indications are in the favor of a gradual rise from hereon. We advise accumulating in the mentioned zone.
IGL has been witnessing correction for the last three months, after making a new record high of 520 in June 2020. It has formed a double bottom pattern(bullish reversal in nature) on the daily chart and trading on the verge of a breakout from the same. The positive divergence between the price chart and RSI oscillator is adding to the confirmation. Traders shouldn’t miss the opportunity and accumulate in the given range.
In line with other healthcare-related counters, the stock has gained considerably in recent months. After the marginal dip to the immediate support zone around 1750 levels, it has rebounded sharply with a noticeable rise in volume. Considering the prevailing trend and buoyancy in the overall sector, traders should use any dip in the mentioned zone to create fresh positional longs.
Disclaimer: Ajit Mishra is VP - Research at Religare Broking
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.