Technical Buy Call: Bata India - Rs. 167.85

Technical Buy Call: Bata India - Rs. 167.85
1st Target: Rs 192 (4-6 weeks) 2nd Target: Rs 201 (12 -14 weeks) Stoploss: Rs 156

Bata India bottomed out by posting an intra-week low of Rs 096.00 during the week ended August 5, 2005, and these levels have not been seen since. The scrip struggled a bit but finally overcame and took support on the 21-week EMA, launched into an intermediate uptrend, posted a series of progressively higher tops and bottoms and rallied to peak at an intraweek high of Rs 166 during the week ended September 23, 2005. Bata India couldn’t sustain these levels and entered a corrective phase, psoting Rs 133.50 during the week ended October 14, 2005. The scrip commenced its uptrend from here, rebounded and again launched into an intermediate uptrendand reached the peak at an intra-week high of Rs 329.25 in the week ended May 12, 2006. The next corrective phase took long time and the scrip rallied to a peak at an intra-week high of Rs 296 in the week ended January 4, 2008. Currently, Bata India seems set to move up after a correction. The mechanical indicators are supporting the move and the daily picture is looking better. An upside lies ahead.