Buy Bharti Airtel for target of Rs 342: IIFL

MUMBAI: IIFL is of the view that Bharti Airtel has also formed bullish ‘piercing line’ pattern on candlestick near the 200 DMA which corroborates trend reversal from the down trend. The brokerage has advised to buy the stock for target of Rs 342.

“Bharti Airtel has bounced back from strong support zone which corresponded to 50% Fibonacci levels and followed with support of long term moving average of 200 days. The stock has also formed bullish ‘piercing line’ pattern on candlestick near the 200 DMA which corroborates trend reversal from the down trend.

The decline on Friday’s trading session was attempt to retrace recent gains and should be used as buying opportunity. Currently the 38.2% retracement support stands at Rs 329 and we expect stock to resume its rally from these levels towards Rs 357. We advise buying stock in the range of Rs 323-326 with stop-loss of Rs 318 for target of Rs 342,” the report said.

Note: Trading idea valid for time period of 1-3 days.