The stock of Havells India began its latest leg of rally towards the end of January, after finding support at ₹1,280. But after reaching ₹1,900, the uptrend lost steam, leading to a sideways movement. But on Monday, the stock opened with a gap-up and hit a record high of ₹1,986.55 before giving up the gains and ending the day lower by nearly 1.6 per cent. However, the support at ₹1,860 holds true and the broader trend is bullish.
There is a good chance for the stock to appreciate from here. Therefore, traders can buy the stock of Havells India now at ₹1,880 and accumulate at ₹1,860. Place a tight stop-loss at ₹1,835. When the stock rises above ₹1,920, tighten the stop-loss to ₹1,890. Book profits at ₹1,950.
(Note: The recommendations are based on technical analysis. There is a risk of loss in trading.)