Bank of India (₹125.8)
Trading near a support
Bank of India’s stock was range-bound since the beginning of the year. But in mid-May, it slipped below the lower boundary of ₹125. While the price fell post this, the trend has not really turned bearish as there are crucial supports which stay valid. Given that the broader trend has been bullish over the past two years, we expect fresh buyers to arrive at the current level. In this case, the stock can resume the rally and can appreciate to ₹200 over the medium-term. So, go long now at ₹125 and buy more shares if the price dips to ₹110. Keep stop-loss at ₹90. When the stock surpasses ₹160, revise the stop-loss to ₹140. Tighten the stop-loss to ₹160 when the price hits ₹180. Liquidate the longs at ₹195.
Graphite India (₹572.6)
Recovery on the cards
Graphite India’s stock hit a 52-week high of ₹709.5 in April. But it started falling from the high. A couple of weeks ago, the stock jumped off a support at ₹520. The weekly chart indicates participants are showing good interest between ₹520 and ₹550. Moreover, the broader trend is bullish. Hence, given the existing chart set up, the case for a rally from here is strong. If such an upmove happens, Graphite India’s stock can hit ₹775 before the end of this year. So, one can buy this stock now at ₹572 and accumulate if the price dips to ₹540. Place stop-loss at ₹490. When the price rises above ₹650, alter the stop-loss to ₹585. Raise the stop-loss further to ₹640 when the stock touches ₹700. Book profits at ₹750.
Titan Company (₹3,533.8)
Up for a rally
Titan Company’s stock price has been on a decline since early April. However, a fortnight ago, after marking a 10-month low of ₹3,056, it witnessed a sharp recovery. The 20-month moving average and a rising trendline helped in this surge in price. The price action, especially on the weekly chart, shows that the stock is up for a rally from here. This time, it can get past the ₹4,000-mark and touch ₹4,400 over the medium-term. Buy shares of Titan Company now at ₹3,530 and accumulate if the price moderates to ₹3,280. Place stop-loss at ₹2,980. When the stock gets past ₹3,900, trail the stop-loss to ₹3,700. Make the stop-loss tighter to ₹4,000 when the price touches ₹4,200. Exit at ₹4,400.
