Syntel is back on its support area and this is a strategic entry point.

The group has a strong growth potential. Indeed, according to Thomson Reuters consensus, sales are expected to sharply increase about 10% by 2014. Moreover, at the current price, the security is trading 13.9 times its EPS and has a great potential.

The area of the USD 78 support should enable the stock to have a new bullish trend. The long term support in this area confirms its relevance. Technically, above these levels, 4-traders analysts are optimistic and count on a return toward the short and mid-term resistances.

Ideally, investors will take a long position nearby the USD 78 support currently tested, in order to benefit from a technical rebound. The USD 86 is the first target, then USD 91. This strategy should be covered by a stop loss placed under the USD 78 support because a breakdown of this level would invalidate it.