Sunday, May 19, 2013

Tata sponge iron ltd

                                          daily chart (click on chart to zoom)

On daily chart, the stock is trading sideways and this sideways trend has formed a WEDGE pattern which may breakout upwards in coming sessions. Stock is also successful in holding 20 DMA and also has crossed 50 DMA. Stock can be bought at CMP (301 as on 17 May 2013) for the short to medium term target of 330-340.
Stop loss at 290 recommended.