During watching market closely, I have again found two stocks which are giving clear breakouts on their technical charts.
Previously, I had suggested to buy Ashok Leyland at Rs 107. After it, it had smartly moved towards its strong resistance and target of Rs 120. There, it consolidate for some days, and now it has moved more higher from this level.
Currently, Ashok Leyland stock is trading around Rs 125. I think it can now starts moving towards its next strong resistance range of 135–137. Before this range, there is a resistance level of Rs 130. But I don’t think stock would face as much difficulty at this level as it can face at levels of Rs 135. Levels of Rs 130 is a minor resistance level for the stock.
On lower side, Rs 120 will now act as a support level for the stock. Therefore, at current levels, one can try this stock for the target of Rs 135. Keep a stoploss at Rs 118.90.
CMP-125, TARGET-130/135, SL-119/118
BHARAT ELECTRONICS LIMITED
After a long time, BEL is now also giving a clear positive breakout on technical charts. From levels of Rs 160, this stock had seen a continues fall which comes to end around Rs 100. And from that levels, stock has given a sharp rise and made it out from the long downward trend.
Currently, stock of BEL is trading around Rs 121. Next resistance level for the stock is around Rs 125. But after such a sharp reversal in trend, I think stock would easily cross this resistance. However, at next resistance range of Rs 133–135, it is possible to see some selling pressure coming in this stock. Therefore, at current levels, traders may try to buy this stock for the target of Rs 133. In this trade, keep a stoploss at Rs 115.
CMP-121, TARGET-125/133, SL-115
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