Spic has once again hit its bottom. It has a strong support at Rs 18.75. It has a reasonable chance to go back to Rs 21.50 and even Rs 22.50. It's recent high was Rs 24.The attraction in this scrip is that it is close to its bottom, and therefore the downside risk is minimal.It has generated a `Harami Cross Bottom' signal in terms of the Japanese technique of candlestick charting. Coming as it does on the bottom side, this signal could prove true.It is difficult to chose a trading scrip in the market of today, given the uncertainties. In these circumstances, SPIC offers a reasonable opportunity. The stochastic is however not strong.
Therefore I would advise you to target your picking at the lower end of the price and provide for some more picking at Rs 18.85.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.
Printer-friendly page
