Aurobindo Pharma conclusively broke out of a key resistance level at Rs 120 by surging 8 per cent on April 16, which it was testing from early February this year. This up move has also penetrated the stock's 50 and 200-day moving averages. The stock's bullish momentum prolongs and it gained 14 per cent for the week. It has been on a medium-term uptrend from its December 2011 low of Rs 83. The daily relative strength index is hovering in the bullish zone and the weekly RSI is on the brink of entering in to this zone from the neutral region, which implies bullish momentum.

The stock is likely to face resistance at Rs 136 in the near future. A decisive break through after testing this resistance will take the stock higher to Rs 150 and to Rs 165 in the medium-term. Immediate support is at Rs 120 and the subsequent one is placed at Rs 109. A fall below the second support will mar the stock's medium-term uptrend and pull it lower to Rs 97.

Jamna Auto Industries (Rs 171.5)

The stock skyrocketed 38 per cent, breaking through key resistances. But it is currently testing key long-term resistance at Rs 174. Its daily as well as weekly indicators are featuring in the overbought territory, signalling a potential near-term correction in the stock price. A downward reversal from the long-term resistance level will pull the stock down to Rs 156 and then to Rs 140.

The stock's medium-term uptrend that has been in place since last December's low of Rs 75 will stay in place as long as the stock trades above Rs 130. A fall below this level will mitigate the uptrend and pull the stock down to Rs 115 or Rs 100 in the medium-term. On the upside, an emphatic rally above Rs 174 will take the stock to Rs 181 and to new highs in the ensuing weeks.

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