Asian Paints' stock appear attractive for a long position. The stock has been giving position signals. One of them has been the formation of a higher bottom. As it can be seen in the chart, the current rally has been from a level of Rs 261, which should considered as higher bottom.The first bottom was established at Rs 198 during the last week of June. At present, the stock is available at Rs 296 and offers good opportunity for medium term.
The medium term MACD has also been hinting at bullish outlook. The moving average (12-day and 48-day) are in a positive phase. The weekly chart also looks strong. Considering current position of price chart and oscillators, traders can take a long position at the current level. Keep a stop loss at Rs 286.
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