Buy and hold Sesa Goa 377, Target Rs387 & 400 plus

The stock has rallied smartly from the recent low of Rs363 in to the present levels. On the daily charts, it has formed a pattern of a higher bottom. It is considered as the initial sign of a bottoming out process in the short term. The daily RSI is already in strong buy mode, indicating that the prices are set to rally from the current levels. However, the upside has consistently faced resistance around the levels of Rs390. Any move past the levels of Rs390, could see the stock attempting the levels of Rs400-405 in the short-term. We recommend a buy at current levels with a stop loss of Rs368.