INVESTMENT STOCK :Bharat Electronic

Bharat Electronics was up 20 % today closed at 2119 . The reason:

DIPP has notified increase in foreign direct investment (FDI) limit to 49 percent through approval route in the defence sector.

 We covered Bharat Electronics on July 21 2014 for our clients
http://trendzofmarket.blogspot.in/2014/07/positional-buy-will-bharat-electronics.html to buy at 1750-1800 tgt 200-2200-2500 in few months stock today zoomed to hit 2120

Bharat Electronics has taken a double dip support at 50 dma. One can make an assumption that stock will rally back to PD High of 2252 if it does not break down below 1700. The closing stop loss should be placed below 1700

Here’s how Bharat Electronics stock appears on daily chart

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The big move today appears like a fresh start and it looks like this time stock will break past previous high and move to much higher levels. The stop loss remains below 1700 for any investment position.

http://trendzofmarket.blogspot.in/
 

---------- Forwarded message ----------
From: MARKET TRENDZ <trendzofmarket@gmail.com>
Date: Mon, Jul 21, 2014 at 9:14 AM
Subject: POSITIONAL BUY : WILL BHARAT ELECTRONICS HEADING BACK TO 2000?

Bharat Electronics stock managed a stunning move from 923 to 2252 – Previous all time high – all in span of 5 months between Feb 2014 and June 2014.  After such a strong move and resistance at all time high – the stock witnessed some selling and pulled back to 50 dma. Does this present an attractive trading opportunity? The answer seems to be yes

TRADING STRATEGY : BUY BHARAT ELECTRONICS BETWEEN 1750-1850   WITH A CLOSING STOP LOSS AT 1700 FOR TGT 2000-2200-2500.. IN FEW MONTHS TIME ( ONLY FOR PATIENT TRADERS)


Here’s the BEL daily chart

 As you can see in the chart above: Bharat Electronics has taken a double dip support at 50 dma. One can make an assumption that stock will rally back to PD High of 2252 if it does not break down below 1700. The closing stop loss should be placed below 1700