Signs of Strength:
- Nifty in Red but NMDC made higher highs
- PSU Stock and PSUs are having their rallies. This one is yet to rally since the budget.
- Closing above resistance and taking the support.
Buy NMDC for a quick target of 122.5 and see if we sustain the level. If we break with strength then an easy target awaits at 130.
Keep a strict stop loss at 118.
There is a 40% chance of hitting the SL however since the risk-reward is too good to ignore, I have personally taken my position at the last minute today. I wouldn't mind my SL getting hit either. Once we cross 124, I will move my SL to 122 and ride until 130.