Buy Maharashtra Seamless for target of Rs 420-435: Arihant

MUMBAI: Arihant Capital Markets is of the view that investors with mid-to-long term perspective can buy and accumulate Maharashtra Seamless for target of Rs 420-435.

“From the charts of Maharashtra Seamless, we note that it has been in a consolidation phase from its June 2009 high of Rs 322 to its July 2009 month trough of Rs 230. However, the stock has also formed a Head & Shoulder Pattern on weekly chart.

Maharashtra Seamless has support at Rs 340-325 on daily charts (significant long-term support level). The daily relative strength index (RSI) is trading in a bullish zone and the MACD has also entered into positive territory.
"Investors with mid-to-long term perspective can buy and accumulate around Rs 364-355 with closing below stoploss of Rs 325 for a target price of Rs 420-435," the recommendation said.