Technical Pick: Buy BSOFT For Short Term Gain With a Good Risk Reward Ratio

Prabhudas Lilladher, a leading brokerage firm in India, has given a buy call for IT stock in the latest report. As per technical analysis, Birlasoft is in a good position, and the stock is looking strong for earning profits in the short term. Therefore, Prabhudas Lilladher has given a trade call for Birlasoft with a good risk-reward ratio with a target of Rs. 375.

Here is a detailed breakdown of the latest report of Prabhudas Lilladher.

Outlook of Birlasoft

Birlasoft Ltd is engaged in computer programming, consulting, and other related operations. It primarily serves clients in the financial services, banking, insurance, energy resources, life sciences, utilities, and manufacturing industries by developing software and offering IT consultancy.

The stock's current market price is Rs.336, with a market capitalization of Rs. 9,415 Crore. The stock's all-time high is Rs. 586, and the all-time low is Rs. 305.

Buy Call of Prabhudas Lilladher

According to the latest report of Prabhudas Lilladher, "The stock has maintained a decent bottom near 305 levels and currently has indicated a decent pullback to improve the bias and also to move past the descending trendline resistance level of 333 to strengthen the trend. We anticipate a further upward move, with the RSI getting stronger and rising. With the chart looking attractive and having immense upside potential, we suggest and recommend a buy in this stock for an upside target of 375, keeping a stop loss of 320."

Technical Analysis of Birlasoft

As per the technical analysis, the chart of Birlasoft looks good, it is still in a downtrend from the past few months, but in recent trading sessions, the stock has shown a moment to the upside with a good volume.

Bullish indicators in a daily time frame:

• The price of Birlasoft has made a double bottom around Rs. 300.
• RSI is around 60 and moving to the upside.
• The price has made a falling wedge pattern.

Bearish indicators in a daily time frame:

• The stock is still downtrend and hasn't shown a significant move to the upside in recent trading sessions.