Buy NCC; target of Rs 133: Way2Wealth

Looking at the weekly chart, NCC has seen spectacular rally from the bottom of around 11 and posted a fresh 52-week high of 118 (April 10, 2015). Subsequently, stock witnessed a decent profit booking and corrected till 53 which coincided with the previous top (May 23, 2014). As per technical, this level which previously acted as a strong resistance (weekly candle high of May 23, 2014) and after convincing breakout it reversed its role and became can immediate support (change of polarity rule). During the remaining session, stock consolidated in a broad range and the weekly chart formed ?Symmetrical Triangle? pattern. If we go through the monthly chart then the level of 53 was precisely coincided with the monthly 45-EMA and stock convincingly hold the same. Also, the price action on monthly chart formed a Positive Reversal which is a bullish signal and target of said pattern comes around 133. On the Candlestick front, stock has formed a Morning star pattern on monthly chart precisely near the monthly 45-EMA. The daily as well as the weekly RSI (14) momentum indicator has started entering above 60 marks which support our hypothesis. Today, stock has convincingly cross and confirmed its breakout from the Symmetrical triangle pattern. Combining the above technical parameters along with the placement of RSI (14) momentum indicator, we recommend traders to buy this stock at current level of 84 with an upside price target of 133. The strict stop loss should be placed at 67.50.For all recommendations, click hereDisclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.