SBI LIFE has been consolidating in a narrow range near its lifetime high zone from the past few trading weeks, indicating the formation of a strong base before another round of rally. On the daily time frame, the stock has managed to settle above the mean of the Bollinger band (20, 2), suggesting inherent strength in the counter. Also on the oscillator front, 14-period RSI has seen some resurgence in the last few trading sessions affirming the overall strength in the counter.
BUY ICICI PRU LIFE | TARGET: 740 | STOP LOSS: 640
ICICI PRU LIFE is in a secular uptrend and is placed above all its major exponential moving averages on the daily chart, suggesting inherent strength in the counter. Also, the stock is placed well above the mean and is hovering near the upper band of the Bollinger, affirming the bullish stance, followed by the technical indicator MACD, which is placed in a comfort zone post positive crossover above its signal line. The stock looks lucrative at current levels and has the potential to test the uncharted territory in the coming future.
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Disclaimer: Osho Krishan is senior manager – equity research at Anand Rathi Shares & Stock Brokers. Views expressed are personal.
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