*KPIT Cummins Infosystems (Rs 143.4): Buy * **
** ** ** ** ** ** ** ** We recommend a ‘buy' in the stock of KPIT Cummins Infosystems from a short-term perspective. Following a medium-term corrective downtrend from the stock's January 2010 peak of around Rs 140, it found support at Rs 90 in late May, which is a significant intermediate-term support level. The stock subsequently resumed its long-term uptrend that has been in place since the March 2009 low of Rs 20. Two weeks ago, the stock conclusively penetrated a key resistance at Rs 120 and encountered next key resistance at Rs 140 levels. On Thursday, the stock jumped almost 4 per cent accompanied by above-average volume, dramatically breaching through the resistance level of Rs 140. The stock is trading way above its 21- and 50-day moving averages. Both the daily and weekly relative strength indices are featuring in the bullish zone. Further, the daily as well as weekly moving average convergence divergence indicators are hovering in the positive territory implying bullish momentum is intact. We anticipate the stock to rally further until it hits our price targets of Rs 150 or Rs 155 in the following trading sessions. Short-term traders can buy the stock with stop-loss at Rs 137. Yoganand D. http://www.thehindubusinessline.com/2010/06/25/stories/2010062551361100.htm -- You received this message because you are subscribed to the Google Groups ""GLOBAL SPECULATORS"" group. To post to this group, send email to [email protected]. To unsubscribe from this group, send email to [email protected]. For more options, visit this group at http://groups.google.com/group/globalspeculators?hl=en.
