Buy Sintex Industries; target of Rs 151: Way2Wealth

Way2Wealth's special report on Sintex Industries

"Sintex Industries is making ‘Higher Highs and Higher Lows’ on both weekly as well as monthly chart that clearly indicates that broader trend continues to remain extremely strong. Now, given below is the monthly chart of Sintex Industries which indicates that the stock had a fuming rally in May 2014 from the levels of 45 to 105. During the process, we saw a positive crossover in ‘5 & 20 Months EMA’ which is still intact. Later on the stock consolidated in a broad range and made several attempts to clear the supply zone of 105 but most of the time the efforts went in vain. Fortunately in today’s session the counter managed to clear the level of 105 with exceptional volumes along with the positive placement of momentum oscillators."

"In addition, the recent consolidation of past few months has taken a shape of bullish ‘Pennant’ pattern. The overall target for the mentioned pattern comes around 150 levels. Further, it can be seen on the chart that the stock has started trading above 105 levels after Feb 2012 which is an accomplishment for the counter. The discussed breakout gives a hint of fresh and muscular rally in the impending days. Therefore, we advise traders to go long in the stock at 105 for an upside target of 151 in the coming weeks", says Way2Wealth research report.

Investment Strategy:Buy at 105 with a stop loss of 91 for a Target of 151.Risk/return ratio: 1:3.3

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