Investors with medium-term perspective can considering buying the stock of Elecon Engineering Company. Since March low of Rs 24, the stock has been on an intermediate-term uptrend. Moreover, it has been on a medium-term uptrend too since July low of Rs 60. After taking support at Rs 90, the stock resumed its uptrend with a weekly gain of almost 13 per cent. It is trading way above the 21-day and 50-day moving averages.

There is an increase in weekly volumes over the past three weeks. Bullish signs are noticed in both the daily and weekly momentum indicators. We believe that the counter has the potential move up to Rs 133 in the medium-term. Investors can buy while maintaining Rs 85 as the stop-loss. Short-term traders can buy with a target of Rs 112 and Rs 96 as stop.