Top trending stock: NETWORK18

The stock of NETWORK18 is soared 5% and has hit the upper circuit today.

Network18 Media & Investments Limited is a media and entertainment company with interests in television, internet, filmed entertainment, and allied businesses. With a market capital of about Rs 8000 crore, it has a strong footing in its industry.

The stock of NETWORK18 is soared 5% and has hit the upper circuit today. The stock received strong buying interest right from the start of Tuesday’s trading session. On the technical chart, the stock has formed a bullish marabozu candle. With such strong price action, the stock has taken out its short term resistance zone of Rs 79-80. The price action was accompanied by above-average volume, which happened to be greater than 10-day and 30-day average volume. This demonstrates the larger trading activity in the stock. Moreover, the stock has crossed above its 20-DMA. Since its recent swing low of Rs 72, the stock has soared over 10% in just five trading sessions.

Last week, the stock has outperformed its sectoral index Nifty Media. The former has generated over 9% returns as against 6% of the latter. Moreover, it has also outperformed most of its peers during the period.

Several technical parameters are in line with the stock’s bullishness. The 14-period daily RSI has improved and is placed above 50. Meanwhile, the MACD had given a bullish crossover in previous trading session. Moreover, The Elder Impulse system has signalled a fresh buy while the On Balance Volume (OBV) has indicated an improved strength from a volumes point of view. The other momentum oscillators also point towards the strong trend strength of the stock. Considering the above points, the stock is extremely bullish as indicated by the technical analysis.

The stock is expected to test the levels of Rs 85, followed by Rs 90 in the short to medium term. Positional and swing traders can expect decent gains from this stock in near future.