Trader with a short-term view can buy ITC with a stop-loss at Rs.325

ITC makes a bounce back

The stock of ITC was also volatile in the prior week, after an initial decline it tested the lower boundary at Rs.316 and bounced up. Now, the stock faces a key resistance ahead at around Rs.331. 

An emphatic breakthrough of the immediate resistance at ₹331 can strengthen the bullish momentum and push the stock higher to Rs.338 and then to Rs.350 in the short term. Trader with a short-term view can consider buying the stock on such break with a stop-loss at Rs.325 levels. 

Conversely, if the stock breaks the key support level of Rs.316, can pull it down to Rs..308 and Rs.300 band, which is a significant medium-term support band. The medium-term trend is down. 

The stock needs to emphatically breach the resistance band between Rs.350 and Rs.355 to alter the trend and then take it northwards to Rs.370 and Rs.380 levels in the medium term.