Business Standard
Web Exclusive

Derivative Strategy on Cholamandalam Invt & Fin Co by HDFC Securities

Primary trend of the stock is bullish where stock price is trading above its 20, 50 and 200 day SMA.

Nandish Shah  |  Mumbai 

Trading Strategy
Trading Strategy

Buy CHOLA FINANCE DECEMBER Future at Rs 313

Stop Loss Rs 308

Target Rs 325

Lot Size 1000.

Rationale:
  • We have seen Long build up in the Chola Finance Futures’ yesterday where we have seen rise in Open Interest with price rising by 3.3%.

  • Stock price has broken out on the daily chart with higher volumes where it closes at highest level since 27-November.

  • Stock price reversed northward by taking support at upward slopping trendline, adjoining lows of 24-July, 23-Aug and 16-October 2019.

  • Stock price has formed multiple bottoms around 295 levels.

  • Primary trend of the stock is bullish where stock price is trading above its 20, 50 and 200 day SMA.
=========================

Disclaimer: The author is a Technical Analyst at HDFC securities. Views expressed are his own. .

.



First Published: Fri, December 13 2019. 07:44 IST
RECOMMENDED FOR YOU