Sunday, March 29, 2009

TA - Maruti

Maruti Suzuki was part of the party in the large-cap stocks with a 7 per cent weekly gain.

The stock exceeded our outer short-term target by recording an intra-week peak at Rs 798.

As explained last week, the area around Rs 750 is a key medium term resistance as it forms the upper end of the stock’s medium term trading range.

If Maruti sustains above this level, subsequent medium term targets are Rs 850 and Rs 950.

The short-term view for the stock is also positive.

A close below Rs 750 will however roil this view.

Subsequent supports are Rs 700 and Rs 645.

Medium-term investors can hold the stock as long as it trades above Rs 600.

Lokeshwarri S. K.
businessline 29-03-09