Technical Analysis

Intellect Design Arena: Buy

Yoganand D | Updated on July 14, 2019 Published on July 14, 2019

 

Investors with a medium-term perspective can consider buying the stock of Intellect Design Arena (₹281) at current levels. The stock has been in a medium-term uptrend since taking support at ₹151 in mid-February 2019, forming higher peaks and troughs. Short-term trend is also up for the stock. Moreover, the long-term trend is also up, since it took support at ₹96 in August 2017. The stock trades well above its 50- and 200-day moving averages.

Following a range-bound movement for more than one month in the band between ₹260 and ₹270, the stock made a positive break-out by gaining 5.8 per cent on Friday. This rally has strengthened the uptrend and has also breached a key long-term resistance at ₹270.

 

There has been an increase in daily volume over the past three trading session. Besides, the daily as well as the weekly relative strength indices feature in the bullish zone backing the bullish momentum.

Also, the daily and the weekly price rate of change indicators hover in the positive terrain implying buying interest. Overall, the medium-term outlook is bullish for Intellect Design Arena.

It can continue to trend northwards in the uncharted territory and reach the price targets of ₹300 and ₹320 in the medium term, with a minor pause at ₹300. Investors with a medium-term view can buy the stock with a stop-loss at ₹260.

 

Read further by subscribing to

The Hindu Businessline

What You'll Get

  • Web + Mobile

    Access exclusive content of the Hindu Businessline across desktops, tablet and mobile device.


  • Exclusive portfolio stories and investment advice

    Gain exclusive market insights from the Hindu Businessline's research desk.


  • Ad free experience

    Experience cleaner site with zero ads and faster load times.


  • Personalised dashboard

    Customize your preference and get a personalized recommendation of stories based on your intrest.

This article is closed for comments.
Please Email the Editor