Buy IFCI for target of Rs 59: IIFL

MUMBAI: IIFL has advised traders to buy IFCI for target of Rs 59.

"After four months of consolidation, IFCI managed to break out from triangle yesterday after it closed above Rs 53. This move is likely to boost positive momentum in short term with immediate target seen at Rs 59 levels. The breakout was supported with spurt in volumes and prices crossing the upper band of Bollinger band.

Adding to it upward crossover of 10-EMA with 20-SMA signals beginning of short term uptrend in the counter with levels of Rs 52.5 acting as support from here on. Last week’s DOJI on candlestick chart called for some amount caution in the stock. However as price has penetrated resistance with good volumes the outlook in short term has turned positive. Traders maintain a stop loss of Rs 52,” the report said.

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