Eclerx Midium Term Outlook

Eclerx formed a double bottom pattern after a long down trend, This week we have seen good momentum in the stock price with huge volumes. That is indicating that the investor interest is rising in this stock. We have also seen the accumulation in the stock at the bottom, that is indicating that the investors has been accumulating the stock at lower level. Positive divergence on the RSI indicating that the price has strong momentum and showing the strength in the trend. The stock has the potential to touch 1010 rupee level in few months. It may face a resistance at 700 rupee if break above and close above this level then it can continue the trend. If we see the volumes at the bottom we will get the huge buying volumes that is also a positive sign for the stock.