Tata Global Beverage which witnessed some correction from its three-month high recorded in April managed to reverse its short-term trend again by closing above its 5-day SMA on Monday which is currently placed at Rs 291 level.
The stock price has already given a bullish trendline breakout by closing above the downward sloping trendline, adjoining the highs of January 15, 2018 andApril 9, 2018 suggesting bullish trend.
The stock price is trading above its 20, 50, 100 and 200-SMA, which indicates bullish setup for the medium to long-term. The momentum indicators and Oscillators are also showing strength in the stock.
FMCG as a sector is also doing well. Therefore, we recommend buying Tata Global atcurrent market price of Rs 294 for the upside target of Rs 315 and keep a stop loss placed below Rs 278.
Disclaimer: The author is Technical & Derivatives Analyst at HDFC Securities. The views and investment tips expressed by investment expert on moneycontrol.com are his own and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.