Britannia Industries - Gladiator Stocks - ICICI Securities

Strategy

Buy Britannia industries in the range of Rs. 3870.00-3920.00 for target price of Rs. 4510.00 with a stop loss of Rs. 3560.00. Time Frame: Six months

Technical View

The stock remains a major outperformer within FMCG space and currently poised to resume its structural uptrend after four week breather, thereby offering fresh entry opportunity

Our bullish stance on the stock is anchored on following observations:

A) Since March 2020 panic lows of Rs. 2100, price rallies are stronger while corrections have remained shallow underscoring strong appetite to own the stock and robust price structure

B) Over Past four weeks stock retraced is preceding five week rally (Rs. 3305 - 4010) only by 38.2%, signifying elevated buying demand

C) The share price has consistently garnered buying support at rising 10-week average in each correction since March 2020. We expect this rhythm to be maintained and stock to rally higher from current levels

We expect significant demand zone is now placed ~3570 which is 61.8% retracement of June-July rally, which is expected to be held in case of any corrections

We project a target of Rs. 4510 basis equality of June-July rally (3305-4010=705 points) from current weeks low of Rs. 3802

For details, click on the link below: https://www.icicidirect.com/mailimages/IDirect_GladiatorStocks_Britannia_Aug20.pdf

Shares of BRITANNIA INDUSTRIES LTD. was last trading in BSE at Rs.3912.35 as compared to the previous close of Rs. 3869. The total number of shares traded during the day was 28796 in over 4962 trades.

The stock hit an intraday high of Rs. 3940 and intraday low of 3879.65. The net turnover during the day was Rs. 112821943.

Source : Equity Bulls

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