Derivative strategy on Escorts by Nandish Shah, Senior Technical & Derivatives Analyst at HDFC Securities
Buy BEML December Future at Rs 789
Stop loss: Rs 772
Target: Rs 815
We have seen Long build up in BEML Futures’ yesterday where we have seen 6% Rise in Open Interest with the price rise of 5%.
The long build-up is seen in the December series also till now where Open Interest has risen above 24% with the price rising by 3%
Stock Price has given a breakout on the daily chart by closing above the resistance level of 772 with higher volumes to close at three month high.
The stock price is trading above its 5 and 20 day SMA, Indicating bullish trend for the short to medium term.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.