Time frame: Three months
Derivatives & Quantitative Outlook
The auto & auto ancillary space has remained largely range bound in the last couple of months with stocks like Bharat Forge underperforming its peers. After remaining range bound for some time, the recent up move is likely to continue towards Rs. 850 and higher levels.
The open interest in the stock has increased sharply in the last two months. Current OI in the stock is at a two-year high. While the stock has failed to participate in the market move, short positions were formed in it. After this, the stock has given a breakout from its ongoing trading range of Rs. 730-770. We believe short covering movement may be seen, which should take the stock higher in the coming trading sessions.
For details, click on the link below: Link to the report
Shares of Bharat Forge Limited was last trading in BSE at Rs. 790.30 as compared to the previous close of Rs. 793.95. The total number of shares traded during the day was 66999 in over 2216 trades.
The stock hit an intraday high of Rs. 804.05 and intraday low of 783.95. The net turnover during the day was Rs. 53120891.00.