Colgate-Palmolive has shown an excellent performance on the bourses during the past two weeks. It has shown a sharp rally from Rs 204 to Rs 240. With this move, it has given a fresh buy signal as it has broken out from a two-month old triangle.In the process, the stock has also crossed its medium term resistance level of Rs 230. The rally in the counter has been accompanied by a huge jump in volumes. All these factors are nothing but a hint towards a bullish future. The position of oscillators have also strengthened.
Long positions can be considered at the current level with a stop loss of Rs 229. On the upper side, the stock has a resistance at Rs 281. For medium term players, the stop loss should be kept below Rs 225.
--Deepak Singh Tanwar
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.
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