Ingersoll Rand - SecondTarget Reached

Ingersoll Rand has reached its second target in this rally and it looks like the infrastructure based companies are getting some attention. It broke the Rs. 350 barrier today convincingly on strong volumes. What is to be watched is the next movement in this stock.

• MACD has just broken and given a 'buy' signal with the bullish line breaking the signal.
• RSI at 66 is getting expensive - a caution to be considered because of the rapid run-up in prices
• As mentioned previously, the volumes is encouraging. The accumulation distribution chart has given some strength to this movement

Targets for this stock would be Rs. 388 in an uptrend and Rs. 428 for the next level. If this rally does not sustain, Rs. 324 would be the next down target. However, fresh purchases should be made at Rs. 360 and have a stop loss on this at Rs. 330.