Buy This Engineering Goods Company Shares For 27% Upside In 3 Months, Suggests HDFC Securities

Indian indices in the pre-opening trade on December 14, 2021 are weak by a margin ahead of the crucial US Fed meet that is slated to begin today. Yesterday, also, there was a drag on the indices led by decline in realty, media and the PSU Bank indices.

Meanwhile, brokerage firm HDFC Securities has again come up with a positional call based on technical analysis of the scrip.

JSL Industries: Buy for a target of Rs. 240 in 3-months

For the electric equipment sector company, the brokerage has set out a target of Rs. 240 to be realised in 3 months. This as against the last closing price of Rs. 189 means a potential upside of 26.98 percent.

Technical Observations on JSL Industries

Stock price has broken out from the downward sloping trendline on the daily chart with higher volumes.

Short term trend of the stock is positive as it is trading above its 5 and 20 day EMA.

RSI and MFI oscillator is placed above 50 and rising upwards, Indicating strength in the current uptrend.

Plus, DI is trading above -DI, Indicating strength in the current uptrend.

Considering the Technical evidences discussed above, we recommend buying JSL at CMP of 178.5 and average at 165 for the upside targets of 201 and 240, keeping a stop-loss at 159.

About JSL Industries

The company is into manufacturing and sale of engineering goods. Founded in the year 1966 and based out of Mogar- the company caters to industries such as utilities, PSUs, engineering consultants among others. The products offered by the company include instrument transformers, outdoor metering units, L.T. air circuit breakers, air break starters, oil-immersed starters, electric motors, monoblock pumps, LT power and auxiliary contactors, and thermal overload relays.