The stock of Blue Star has gained 7.6 per cent so far this week. It rebounded from the 50-day moving average. But there is a resistance ahead at ₹1,890. However, given the current momentum, we expect the stock to break out of ₹1,890. Such break can confirm a cup and handle chart pattern, according to which the stock can rise to ₹2,220. That said, when the stock reaches ₹2,080, it can see a minor correction before heading to ₹2,220.
Video Credit: Businessline
Buy the stock at the current level of ₹1,825 and accumulate if the price dips to ₹1,760. Place stop-loss at ₹1,670. When the stock breaks out of ₹1,890, trail the stop-loss to ₹1,750. Tighten the stop-loss to ₹1,980 when the price hits ₹2,080. Book profits at ₹2,220.
(Note: The recommendations are based on technical analysis. There is a risk of loss in trading.)
Published on August 8, 2025
