The daily stochastic indicator has signalled a buy. But despite the three day consolidation, it is still not ripe for long term investment. The RSI indicator is yet to signal a buy. Right now, it is still in speculative grade.It could rise to 264 and with luck to 285.

Bhel is much into power generation equipment. Its fortunes are linked to orders from this industry. It has to be facing global competition. It has won some major contracts, but equally it has lost some important contracts to other competitiors.

Bhel is a good vehicle for speculators. But of late it has been acquiring more risky quality than surety. So manage your downside then you can make profits here!