United Breweries sizzled last week shooting 41 per cent to register its new high at Rs 644. But it witnessed selling pressure and lost half its gain to finish the week with 19 per cent gain.

The volume traded was extraordinary in the previous week. The stock is currently testing its long-term key resistance at around Rs 600.

Failure to move above this level will pull the stock down to Rs 500 and then to Rs 465.

Its intermediate-term uptrend that has been in place since October 2011 will stay in place as long as the key support at Rs 465 holds.

A strong dive below Rs 465 can drag the stock down to Rs 400 and then to Rs 350 in the forthcoming months.

If the stock's immediate support at Rs 500 arrests any short-term corrective decline, it will be positive for the stock from a long-term perspective. In that case, the stock can move higher to Rs 577 or to Rs 600.

Shoppers Stop (Rs 367)

In late December 2011, Shoppers Stop found support around Rs 250 and changed its trend. Since then, the stock has been on a medium-term uptrend.

While trending higher, the stock took support at Rs 307 in late February, then at Rs 320 in early March and resumed its medium-term uptrend.

Last week, the stock conclusively penetrated its immediate resistance at Rs 345 by gaining 14.6 per cent with good volume. Nevertheless, it is testing subsequent resistance at Rs 370.

A definite up-move above Rs 370 will take the stock northwards to Rs 400 and to Rs 420 in the medium-term. Key supports for the stock are pegged at Rs 345, Rs 315 and Rs 284.

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