An investment idea in DIVISLAB on NSE (INDIA)

This is weekly chart of DIVISLAB on NSE with CMP @ 1477.80. It seems to be an excellent scrip for long term investment based on following observations:

1. Price was trading in a channel as shown on the chart since June 2011 unless it broke down in Dec 2016. Price once again has entered the channel after deep corrections.
2. Price has broken previous high made in Sep 2016.
3. Support zone has been indicated on the chart based on price action. Price after testing the lower end of support zone, has formed bullish kicker in the last week with substantial rise in volume.
4. MACD indicates bullish view.

Price seems to be all set to go past 1800 (upper fibre of rising channel). Hence, it looks good from investment perspective with initial stop below 1324 (below bullish candle of last week on closing basis) and ride the trend.

Happy investing...


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