The upmove in the stock of Century Plyboards (I) is gaining momentum. The stock had surged over 7 per cent and closed on a strong note on Monday. This rise has taken it well above the crucial resistance level of ₹710. Immediate support is at ₹725. Below that the region around ₹710 will act as a strong resistance-turned-support level. Century Plyboards (I) share price can target ₹850 over the next three-four weeks.
Traders can go long now. Accumulate on dips at ₹728 and ₹718. Keep the stop-loss at ₹695. Trail the stop-loss up to ₹755 as soon as the stock moves upto ₹775. Revise the stop-loss further up to ₹790 when the price touches ₹810. Exit the long positions at ₹830. The bullish view will go wrong only if the stock declines below ₹700. But that looks unlikely.
(Note: The recommendations are based on technical analysis. There is risk of loss in trading.)