The upmove in HDFC Asset Management Company is slowly gaining strength. The stock has risen over 5 per cent so far this week and is looking strong. The rise on Tuesday has taken the share price well above the intermediate resistance level of ₹3,945. This level will now act as a support. Below that ₹3,900 is the next strong support. HDFC Asset Management Company share price can rise to ₹4,250 in the next two-three weeks.
The stock has to decline below ₹3,900 to negate the bullish view. Traders can go long now at ₹4,016. Accumulate on dips at ₹3,960. Keep a stop-loss at ₹3,840 initially. Trail the stop-loss up to ₹4,060 as soon as the stock moves up to ₹4,110. Move the stop-loss further up to ₹4,145 when the price touches ₹4,190. Exit the long positions at ₹4,235.
(Note: The recommendations are based on technical analysis. There is risk of loss in trading.)
