The short-term outlook for Blue-Star is bullish. The 5 per cent surge on Tuesday has happened from just around a key trendline support level. That marks the end of the corrective dip that was in place for a week. It also indicates the resumption of the overall uptrend. Strong support is around ₹1,150. Intermediate dips are likely to be limited to ₹1,150 as fresh buyers are likely to emerge in the market.
Blue Star share price can rise to ₹1,300-1,320 in a week or two. Traders can go long now at around ₹1,204. Accumulate on dips at ₹1,165. Keep a stop-loss at ₹1,130 initially. Trail the stop-loss up to ₹1,230 as soon as the stock moves up to ₹1,255. Move the stop-loss further up to ₹1,265 when the price touches ₹1,285. Exit the long positions at ₹1,300.
(Note: The recommendations are based on technical analysis. There is risk of loss in trading.)