Today’s pick is BHARTIARTL [stockquote]BHARTIARTL[/stockquote]. The stock began 2012 with a nick of an uptrend, which ended with the stock touching its 52-week high of Rs. 400 in February. This was then followed by a correction to Rs. 250 levels seen in September. The stock has since been on an up-trend. In the last three months, the stock has moved +18% vs. +4% of the Nifty’s.

BHARTIARTL Technical analysis chart

Oscillators RSI and CMO are in no-man’s land. However, the short-term technical flashed a 4×18 bullish cross-over for the scrip yesterday followed by a long-term golden cross on the 28th of December giving a prominent bullish sign for the scrip.

The MACD line that just started moving up towards the signal line, along with the rise in histogram levels, is suggesting an imminent bullish move. Also, long-term GMMA lines are experiencing an expansion giving out a bullish signal for the scrip.

BHARTIARTL Correlation chart

BHARTIARTL’s average correlation with the Nifty is 0.48 is positive. The scrip will be replicating the movement of Nifty. [stockquote]NIFTYBEES[/stockquote]

BHARTIARTL Volatility chart

BHARTIARTL has a historical volatility in the range of 0.4 to 0.7. The scrip’s volatility currently is in the middle of the range.

To conclude, given these technicals, the stock is both a short-term and long-term BUY.

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