We recommend buying UBL for the target of Rs 1,390 and keeping a stop loss below Rs 1,250, says Nandish Shah of HDFC Securities.
United Breweries (UBL) reversed northward after taking support near its 200-day SMA last week. It closed above its 5 and 20-day Simple moving averages. The stock price has also given a bullish downward sloping trendline breakout on the daily chart by closing above the Rs 1282 levels.
Oscillators and momentum indicators like RSI and MACD are showing strength on the daily charts. Therefore, we recommend buying UBL for the target of Rs 1,390 and keeping a stop loss below Rs 1,250.