Derivative strategy on Mahanagar Gas by Nandish Shah, Senior Technical & Derivatives Analyst at HDFC Securities
Buy Mahanagar Gas January Future at Rs 898
Stop loss: Rs 882
Target Price: Rs 925
Long build up was seen in Mahanagar Gas (MGL) Futures on Wednesday where we saw a rise in the open interest (OI) with price rise of 2.3 per cent.
After taking support around 200-day simple moving average (SMA), the stock price resumed its uptrend with higher volumes.
It is making higher top higher bottom formation on the daily charts.
Momentum indicators and oscillators are also indicating strength in the stock for the short-to-medium term.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.