The short-term outlook is bullish for Castrol India. The stock surged over 10 per cent last week and closed on a strong note. Friday’s rise has taken the share price well above the ₹217-₹218 resistance zone. There is an inverted head and shoulder bullish pattern formation on the chart. Additionally, the moving average cross-overs also strengthen the bullish case. All these indicators suggest that the share price can go up from here. Castrol India’s share price can rise to ₹250 in the coming weeks. Traders can go long now at ₹222. Accumulate on dips at ₹218. Keep the stop-loss at ₹208 initially. Trail the stop-loss up to ₹228 as soon as the stock goes up to ₹235. Move the stop-loss further up to ₹238 when the price touches ₹242. Exit the long positions at ₹246.
Video Credit: Businessline
(Note: The recommendations are based on technical analysis. There is risk of loss in trading.)
