Expect SAIL to rally, says Edelweiss

MUMBAI: According to Edelweiss, the charts of SAIL have formed a a ‘bullish harami’ candlestick pattern. The stock can rally towards multiple swing resistances at Rs 186, the brokerage says.

“After declining for more than 12 months, SAIL seems to have found support at the lower end of the declining trend channel at Rs 156. On the weekly chart, it has made a ‘bullish harami’ candlestick pattern which will be confirmed on the break above Rs 171.50.

Daily oscillators have been oversold and recovering after last weeks’ upmove. We expect the stock to rally towards the multiple swing resistances at Rs 186. The immediate downside seems to be protected by previous weeks’ low of Rs 156,” the report said.