Technical Calls 14 December 2009

Bharat Forge (274)

Stock has formed “Long white candle “bullish candlestick pattern with strong volume breakout on daily chart, stock has also given two month old upper trend line breakout and 3 DEMA has given positive cross over to 8 DEMA which suggest that up move is likely to continue. Daily RSI and Stochastic are giving buy signal. Looking at all above evidence trader with moderate risk appetite can Buy above Rs.276 with stop loss of Rs.270 for a Target of RS.287-Rs.290.

Jyoti Structure (152)

On Friday stock opened gap up with strong volume breakout on daily chart. Moreover stock has also formed “Inverse head and Shoulder pattern” which suggest up move is likely to continue. Weekly chart has formed “Twizzer Top” at 154 level crossing which stock will give good up move. Daily RSI, Stochastic and Weekly RSI are giving buy signal. Looking all above statement trader with high risk appetite can Buy above 154 with stop loss of Rs.150 for a Target of Rs.162.