Technical Pick of the Week #3 - Pidilite Industries

Price Action Analysis:

The stock gave a fresh breakout above 2900 in the last week. The stock created a higher low pattern on the weekly chart which reflects a strong bullish momentum.

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‍Moving Average:

The stock has been trading above the 50 and 20 EMA for the last 5 months. The 20 EMA level can act as a strong support in the upcoming weeks.

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Bollinger Bands:

The stock successfully broke the band with average volume which reflects a fresh breakout. The middle band is at 2,700 which will act as a critical support.

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Mool’s Outlook:

We anticipate a target of 3,450 in the stock in the next 6-8 months, which reflects a 14% upside in the stock. This stock can be added on every dip around 2,800-2,900 levels

Stop Loss should be maintained at INR 2550.

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