However, since then the stock position has steadily improved. In fact, for the first time in the last three months, the price has moved above the short and medium term moving averages. Similarly, the averages are all set to enter into positive phase.

The bullish undertone is further confirmed by an impressive jump in volumes. While the stock has improved from Rs 24.75 to Rs 28.90, the daily trading volume has risen from 11,000 shares to 130,000 shares.

As far as the position of oscillators is concerned, the 21-day RSI is in positive mode. It has also formed a positive divergence. The position of MACD is equally good.

As such, a long position can be taken for a 10-15 per cent returns in the near future. Keep a stop loss at Rs 24.