After a decisive upside breakout of essential overhead resistance, like a down sloping development line at Rs 48 within the later a part of November, the inventory value has moved up sharply within the subsequent few weeks.
The downward correction of final week has positioned the inventory value on the assist of earlier upside breakout space and has resulted right into a sustainable upside bounce on Monday.
This sample signifies a validation of the upside breakout of vital resistance and this means extra upside for the close to time period. Weekly 14 interval RSI reveals optimistic indication.
Shopping for may be initiated in HUDCO at CMP (Rs 50.25), add extra on dips all the way down to Rs 48, look forward to the upside targets of Rs 55 and Rs 61 within the subsequent 3-5 weeks. Place a cease lack of Rs 46.
(Nagaraj Shetti, Technical Analysis Analyst, HDFC Securities)