ONGC Ltd, the state-owned oil and gas company, has seen a significant rally in recent months, with the stock surging over 20% and hitting a fresh 52-week high in January 2024. Short-term traders are advised to buy the stock, as experts predict a target of Rs 295 within the next three months.

The stock has displayed strong momentum, rising from Rs 186 to Rs 239 in just three months, marking a 26% increase. It has also broken out from a multi-year swing high and closed above the Bollinger band on the monthly charts. These technical indicators suggest that the stock's rally may continue.

Analysts have highlighted various factors that support the bullish trajectory of ONGC. The monthly, weekly, and daily Relative Strength Index (RSI) are all above the 60 zone, indicating a sustained upward trend. The ascending Weekly Directional Movement Index (DMI+) and Average Directional Index (ADX) further reinforce the positive sentiment.

Additionally, the stock closed above the upper Bollinger band, signaling increased volatility and further validating the uptrend.

Overall, ONGC appears to be on a bullish streak and may be heading towards a 9-year high. Traders and investors are advised to consider initiating positions with a target of Rs 295 and a stop loss at Rs 190.

Source: Reuters, Financial Express, Moneycontrol