Sector to watch out for 2021 !!!

CNXFMCG : Breakout from Multi-Month Consolidation !! 

The Pandemic, Historic, Scary, Revolutionary (or any other name which you could think of), 2020 year is coming to an end and has been ending on a better note especially for the Stock Markets and for many investors, traders. And like me, everyone would wish such outperformance should continue for the coming year as well.

From such a thought, was analyzing the different sector's long-term charts which shall continue this rally and has a better risk-reward opportunity. To be honest, as most of the sectors are trading near fresh highs the charts are very robust, strong, and attractive. However, after analyzing most of the sectorial charts, the CNXFMCG index chart caught my attention and I believe this sector has much more steam left and could be one of the sector I would like to bet on for 2021.

The weekly chart of CNXFMCG attached below displays the perfect example of the "Law of Polarity" theory. The simple yet powerful concept provides strong support/resistance, trend strength and if analysis proved right it provides the best entry opportunity with favorable risk-reward in place. Also, from this chart, it shows for a better perspective it's important to focus more on the left-hand side of the chart rather than focusing more on the present chart scenario. 

From the above chart, it is evident that in most scenarios the earlier resistance has turned into support and the price enters into a new trading range zone. From the breakout since 2005, this scenario has continued so far. Every consolidation breakout later has turned into a demand zone and price rise higher entering into a new trading range zone. The same pattern or same scenario have developed currently. This month CNXFMCG index has witnessed a breakout from the long multi-month consolidation range which continued for more than two and a half years. So taking the reference point from the historical chart it is possible that CNXFMCG has entered into a new trading range and could be at the beginning of a new bull run. Going forward 33200-32500 would act as strong support for the CNXFMCG index.

Looking from the price pattern point of the view, the CNXFMCG index has registered a breakout from the long sideways parallel channel which continued for more than two and a half years with supportive momentum which is a bullish signal and compliments bullish view on price.

Another chart displayed below is the Ratio Chart of CNXFMCG and Nifty 50. The Ratio chart denotes, it has reversed taking support from the demand zone. If the ratio line continues to hold this support and rises higher, it shall indicate that the CNXFMCG index shall outperform the benchmark index in the coming months. Looking at the chart it suggests the ratio line has the potential to inch higher towards the upper shaded zone which is placed around  2.85-3 levels. The momentum indicator has surpassed oversold territory with a positive crossover which is a bullish signal and compliments a bullish view on price.

From the above Technical studies, I believe 2021 would be more better year for CNXFMCG index and related stocks. My view holds true till the Index does not close below the mentioned support zone and To the extent till the Ratio line chart does not breakout the support zone. 

Do share your thoughts in the comment section and If you agree do Share, comment and follow my BlogPost. 

Do comment the STOCK you feel can outperform in 2021 from FMCG basket. 

In advance, Wishing all the readers a very Prosperous, Healthy, and Wealthy 2021... Good Luck !!

Attractive Risk-Reward Opportunity

 KSCL : Resumption In Prior Bull Run !?!

This stock has been in a strong uptrend from March 2020 and this year overall has fared well for the stock. The upward momentum seems likely to continue in 2021. Overall chart structure seems attractive and offering the best risk-reward opportunity.   

I am following this stock from last many years and most of the time this stock has worked in favor and has moved as per the expectations, especially for positional trading. Looking at the chart setup I believe stock price likely to start the next phase of an uptrend.

Analyzing the weekly chart it has been observed that price was trading in Descending channel from last more than 2 years. This year the stock registered a decisive breakout from the mentioned pattern with supportive volumes and momentum. Post breakout price continued its up move for few weeks till 680 levels and thereon stock witnessed profit booking and which lead the price to drop towards Descending channel upper trendline which was earlier acting key resistance and now has turned into the support.

From the above chart, it is evident how precisely price has been respecting Parallel Descending Channel lines. From last many weeks, price has been taking support near channel line and in last week price witnessed strong upside movement and seems has completed the base and ready to commence its prior trend. The upmove in the week was well support with strong volumes which increases the reliability of the upmove.

Also near the same juncture there other multiple support visible which includes my Moving Average Bands, 50% retracement support of its prior whole rally from 274-683, Breakout from intermediate falling trendline with sizeable volumes, and wide bullish candlestick. Thus looking at the overall chart it gives a sense that price likely to resume its prior uptremd.

The Momentum Oscillator has reversed from oversold territory and recently has turned around taking cushion near 20 levels and its moving average with a positive crossover which is a bullish signal and complement bullish view on price. Also, the stock has been trading above all major moving averages which suggests strength in price in all time frames. 

Considering the above price pattern, volumes, and other technical studies, the price has the potential to scale higher in the coming weeks. In the short to medium run, the price has the potential to rally towards 590-650-730+ levels

The above view holds true until the price does not close below 480 levels. The strong support is visible around 511-496 levels.

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Disc. The above-shared analysis is solely my view as per my understanding and knowledge and for educational purposes. I will not be responsible for any loss or gain incurred.

Stock of the week!

 ASIANTILES : AT THE CUSP OF A BULL TREND

This stock has delivered exponential returns to its investors in the year 2014-2017. Every correction or any dip in price was bought into and thereon a primary trend continues. The primary bull run in this stock continued for around 4 years where price rallied from 23 to 600+ levels in a matter of about 4 years which is an exceptional and whopping gain.  

However, in Jan 2018 this stock topped out, and post that stock has failed to resume its prior uptrend and every minor rally was sold into.The 2018 was a climax year for stock as the stock continued to remain under pressure for the whole year. The stock formed a top 617 in Jan 2018 and bottomed out around 130 in Jan 2019. This means stock gave up almost 80% of the gain in one year which took four years for stock price to rally.

Post printing a low around 130 in Jan 2019, the stock turned sideways and since then had been trading in a range of 270-130 levels. This consolidation phase continued for more than one and a half years and in early September 2020 stock registered a decisive breakout from the consolidation phase.

The consolidation took a formation of Probable Double Bottom price pattern which is formed after a downtrend and considered as bullish reversal price pattern in nature. The breakout has occurred with supportive volumes and sideways correction post that is seen with declining volumes which increases the reliability of the breakout. 

The rally from the lower levels has been seen with a rise in volumes and decline with low volumes which compliments bullish view on price and hints a genuine bullish price pattern on chart.

Another tool which I generally follow and mostly I consider a must parameter for an investment. The weekly band attached in the below chart shows how beautifully and accurately price has provided support to the stock when it was in the bull trend. Every decline in price got arrested near the Moving Average Band. After a good amount of time price has given a breakout from this band and holding above the same which denotes strength and bullish trend in price. (This Average Band works quite accurate in spotting key support and resistances as shown in this stock, TO KNOW MORE AND VALUE OF THE BANDS CAN DROP ME A MAIL ON MY GMAIL ID.

Considering the above price pattern, volumes, and other technical studies, the price has the potential to scale higher in the coming weeks. The further upside momentum in stock can be seen once the price surpasses above 320 levels. In the short to medium run, the price has potential to rally towards 375-425-500 levels

The above view holds true until the price does not close below 264 levels. The strong support is visible around 287-275 levels.

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Disc. The above-shared analysis is solely my view as per my understanding and knowledge and for educational purposes. I will not be responsible for any loss or gain incurred

Potential Breakout on chart worth considering.

 UJJIVAN FIN SERV: RALLY LIKELY TO CONTINUE ...!

This stock has been listed recently a few years back and the sharp selloff witnessed this year brought stock price back below the listing price. This stock piqued my curiosity when last week, price witnessed a wide Gap up the opening of about 20% on the back of some positive news flow.

While analyzing the weekly chart I found stock has been following into one of my favorite setup and I dug more into the same which lead me to conclude, the rally is likely to continue ahead and the price to scale higher in coming weeks. 

The stock on the weekly time frame has been in trading in the Parallel descending channel since the inception of the stock price. It has been observed price has peaked out near the upper boundary of the channel and has formed bottom near the lower range of the channel. The recent major bottom formed in March 2020, was also formed at the lower boundary of the channel. 

From the chart attached above it is evident that historically how beautifully price has respected the Channel lines. The wide gap up witnessed in the previous week has lead the price to surpass the median channel line which acted as key resistance earlier. Also, the previous week a new sequence of Higher high and higher low has developed which denotes an uptrend in the short to medium-term time frame.

Another chart attached below highlights the action between price and volume in the course of sharp decline and recovery. The Red Box marked focuses on the decline in price with fewer volumes (small volumes bars) whereas, the Green Box marked shows a recovery phase from the lower level which sees an exceptional rise in volumes bars with the price. This hints probable big players are still in the game and recently over the course of upmove shall have added further with the rise in price.

Another chart attached below displayed the Momentum Indicator and Bollinger Bands. The Momentum Indicator is inching higher converging its average and has surpassed the previous readings high which indicate strength in price. Also, the indicator has crossed above the 0 levels after a good amount of time which is a bullish signal and compliments bullish view on price. The price has given breakout from squeeze Bollinger bands which indicates an expansion in volatility to the higher side and supports a bullish view on price.

Considering the above price pattern, volumes, and other technical studies, the price has the potential to scale higher towards the upper boundary of the Descending channel in the medium-term. While immediate resistance comes around 305-354 levels. 

The above view holds true until the price does not close below 259 levels. The strong support is visible around 274-267 levels.

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Disc. The above-shared analysis is solely my view as per my understanding and knowledge and for educational purposes. I will not be responsible for any loss or gain incurred.

Stock of the week !

 

ENDURANCE TECH : CONFLUENCE OF SUPPORT !!!

The stock has been in strong momentum this year especially from April 2020, Post forming a low in April 2020, the stock has witnessed a sharp recovery from thereon. In April 2020, stock made a low around 970 and in august stock printed a high of 1180 which is a whopping rally in very little time. 

Analyzing the weekly chart, the stock has been trading in Descending channel from last more than two years. It has been observed, price has formed a top near the higher boundary of the channel and a bottom near the lower end of the channel. The recent low i.e formed in April 2020 was formed also near the lower end of the channel.

The positive or bullish point to note here is, this time the stock witnessed a decisive breakout from the Descending parallel channel which continued for more than 2 years. These signals change in the medium-term trend from bearish to bullish. The breakout was well supported by the volumes which increases the reliability of the breakout. Post breakout price experience some upmove and thereafter saw minor profit booking and seen taking support near the channel which was acting resistance earlier. (Law of Polarity)

From the above chart attached it is evident how the price has respected the channel lines. From the last 3 weeks, stock seem has formed a base near the support and this week price gave a breakout from the same which is a bullish signal. Also, the breakout has accompanied by supportive volumes. If this mentioned support held well the price likely to resume its prior trend.

Now, drawing a Pitchfork connecting its important swing points, the price has registered breakout from the median line and price has been taking near the same which provides further strong support for the stock. And, if stock materializes well, stock shall ride higher to test the upper trendline of the Pitchfork.

The stock has been trading above all major moving averages like 9,20,50,100,200 which suggests strength in price ad bullish trend in all time frames. Most of the moving averages are converging near the same juncture, as support discussed above which denotes the key support for the stock price.

The other chart attached below focuses on the Momentum Indicator. RSI earlier had surpassed above the falling trendline and now its inching higher finding support near the same. Also, RSI has reversed from the neutral zone (50 levels) and has given positive crossover which confirms the momentum and compliments bullish view in price.

Considering the above price pattern, volumes, and other technical tools price has the potential to scale higher towards 1200-1280-1400 in the medium-term.

The above view holds true until the price does not close below 970 levels. The strong support is visible around 1055-1020 levels.

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STAY SAFE STAY HEALTHY !!!

Disc. The above-shared analysis is solely my view as per my understanding and knowledge and for educational purposes. I will not be responsible for any loss or gain incurred.

DIWALI PICK !!!

 SunFlag Iron and Steel - Bullish reversal pattern breakout !!!

The Metal/Steel sector as a whole has been shinning for the last couple of months and major stocks have robust chart patterns with strong price action. However, among the metal basket, I have chosen a small-cap stock which has been on my radar from the last couple of weeks. 

The SunFlag and Iron and Steel stock topped out around 100 levels in Feb 2018 and from there on every rise in price was sold into. The stock remained under pressure and made a low below 23 levels in August 2019. The sharp selloff halted near 23/- and post that the stock went into hibernation mode. The stock traded in a wide sideways range from around 50 to 25 levels. Generally, The bears used to take control when the price comes near 50 levels and similarly bulls take the charge when price reaches near 25 levels.

After consolidating in the range for more than 1 and half year, previous week price registered a decisive breakout from the same which suggests a change in trend from sideways to bullish. If the price-pattern unfolds well as per expectations price likely to scale higher in the coming months. 

From the attached chart, it is evident how the stock has registered breakout forming wide bullish range candlestick which suggests strong bulls force. Also, the breakout has accompanied by a sharp rise in volumes which increases the reliability of the breakout and compliments bullish view on pice.

Another chart attached below shows the price Momentum indicator in the lower panel. The momentum indicator has surpassed its previous high reading which signals strength in price. Also, MACD has resumed its upmove after converging around its moving average which is a bullish signal and compliments bullish view on price.

Considering the above price pattern, volumes, and other technical tools price has the potential to scale higher towards 62-75-85 in the medium-term.

The above view holds true until the price does not close below 44 levels. The strong support is visible around 52-49 levels.

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STAY SAFE STAY HEALTHY !!! WISH YOU A VERY HAPPY AND PROSPEROUS YEAR AHEAD. GOOD LUCK !

Disc. The above-shared analysis is solely my view as per my understanding and knowledge and for educational purposes. I will not be responsible for any loss or gain incurred.

HINDPETRO : REVERSAL FROM MULTI YEAR SUPPORT !!!

The stock has been under severe pain for the last many months and even years. The stock has been in a downtrend since Sept 2017. The stock registered an all-time high of 493 and thereafter stock saw sharp correction dragging stock price lower till 163 which was formed in Oct 2018.

Post printing low of 163, the stock has been trading sideways and consolidating in a wide range. From the last more than 2 years stocks have been in a range of 150-170 points i.e 165-330 levels. Every time stock hits the higher end of the range i.e 330, the bears take control over bulls and push the price lower towards the lower end of the range i.e 165.

The stock came under my scanner post stock again reversed taking support near lower end of the sideways range and started to form bullish candlestick patterns. 

From the attached chart it is evident how the stock has reversed taking support near the lower end of the sideways range. I believe if the stock manages to hold this support the stock has the potential to test the median line of the range (Red Dotted Line) in the short to medium term. 

Going forward if stock manages to hold and sustain above the median line then one can expect the price to continue to northward move towards the higher end of the range. 

The probability of holding support and price scaling higher seems higher. Near the support, there is a sharp rise in the volume bar and is greater from the last many weeks which is a bullish signal. As well momentum indicator has given positive crossover and inching higher from oversold territory. 

Now, lowering the time frame from weekly to daily chart. On the daily chart stock has registered breakout from Inverse Head & Shoulder pattern, a price pattern that is considered bullish reversal price pattern in nature. The breakout has accompanied by sizeable volumes which increases the reliability of the breakout. 

The stock formed a bullish candlestick pattern near support with a surge in volumes, a Positive signal from momentum indicator, and a Breakout from bullish reversal pattern in the lower time frame chart which hints and increases the probability of price holding the support zone and likely to scale higher like we have experienced in the earlier instances. 

Thus, following the technical parameters the stock has the potential to scale higher towards 210-240 in short to medium-term. 

The above view holds true until the price does not close below the lower end of the range. The strong support is visible around 181-174 levels.

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STAY SAFE STAY HEALTHY !!! 

Disc. The above-shared analysis is solely my view as per my understanding and knowledge and for educational purposes. I will not be responsible for any loss or gain incurred. 

Jubilant Industries : Showcasing robust chart setup !!

 

Jubilant Industries: At strong support zone !!!    

This stock had earlier witnessed a powerful bull run which continued for around 4 years from August 2013 - January 2017, in that period the stock rallied from 25 to 450 level which is an outstanding run and blissful returns for the shareholders.

Post printing a high near 420 in January 2017, the bull cycle changed dramatically, and thereon bears have taken the lead. The stock price tumbled from 420 to 76 levels in less than two and a half years. Post that the stock has been trading in a sideways range from 75 to 150 levels. 

This stock caught an eye when a few weeks back, the stock price witnessed a strong breakout from the consolidation phase with sharp surge in volumes and formation of back to back two wide bullish candles. 

The consolidation phase took a shape of a bullish reversal Double bottom price pattern which gives a clue of a probable change in trend from bearish to bullish. In early August 2020 stock registered breakout from the same and post that stock has witnessed profit booking and has been declining thereon. 

The decline post the breakout looks more like a profit-booking because of the behavior of the volumes. With the decline in price with wide red candles, the volumes have been (below average) consistently declining which signals profit booking or an exit by small players. If the decline was genuine then i believe with wide red candles, volumes bars should also be large or above average.

Post steady decline, this week price witnessed some bounce back and formed a green candle. The positive point to notice here is the size of the volume bar. The volume is greater than from the last 5-6 weeks volumes and has been above the average.

I have noticed that if the price has to continue its upward journey price generally retracted back towards 20 Moving average and then resume its prior trend. In this case, also the decline in price has arrested near 20 EMA and this week price bounced back hitting the average line, I believe if the price holds above the 20 EMA (which is expected to happen) the stock price likely to resume its prior trend and quickly surpasses its previous swing high in the short run.

Following price patterns, volumes, and other technical tools price has the potential to scale higher towards 170-188-220 in short to medium-term.

The above view holds true until the price does not close below 115 levels. The strong support is visible around 130-123 levels.

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STAY SAFE STAY HEALTHY !!! 

Disc. The above-shared analysis is solely my view as per my understanding and knowledge and for educational purposes. I will not be responsible for any loss or gain incurred. 

Ajanta Pharma : Major breakout on chart !!

Ajanta Pharma : Strong upside potential candidate.

The Pharmaceutical theme stocks has been in a great momentum this year and has out performed the bench mark index.

Such outperformance in pharma stocks has seen after long 5 years. The CNX Pharma index was trading in down trend from last 5 years and was trading in Descending channel. However, this year the pharma index has registered strong breakout from the same and i believe the outperformance in Phrama stocks has just started and likely to continue ahead for many months.

 

Now, looking at weekly chart of Ajanta Pharma, the stock has registered a breakout from probable Double Bottom pattern which signals change in medium term trend from bearish to bullish.

The pattern continued for more than 2 years. Going ahead if pattern capitalise well in favor as per expectations, the stock likely to deliver good ROI hereon.

The another chart attached below highlights Price-Volume indicator which shows indicator trading well above 0 zero reading and trending higher which is a bullish signal and compliments bullish view on price. 

From the chart attached below it is evident how beautifully 20 EMA has provided support to the price. Every dip in price has arrested near this average and price resumes its prior upmove forming higher high. Recently stock has reversed finding support near 20 EMA and i believe price likely follow it previous behaviour.

Also, stock is trading well above 50,100 and 200 EMA suggests positive trend and strength in price. Moreover, stock has been forming series of Higher High and Higher Low defines uptrend and compliments bullish view in price.

Following price pattern, volumes, and other technical tools price has the potential to scale higher towards 1720-1840-2000 in the medium-term.

The above view holds true until the price does not close below 1465 levels. The strong support is visible around 1540-1500 levels.

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STAY SAFE STAY HEALTHY !!! 

Disc. The above-shared analysis is solely my view as per my understanding and knowledge and for educational purposes. I will not be responsible for any loss or gain incurred. 

Camlin Fine : Wide Bullish Double Bottom Pattern Breakout !!

Camlin Fine: Attractive Chart setup !! 

This stock does not carry much historical chart data as the stock has been listed a few years back. The stock has been listed in January 2015. However, in terms of five years stock has been languishing in an overall sideways trend. 

So far investors in this stock would have not been much cheerful as the stock has failed to delivered good returns. In around five years stock is still trading near the listing price. However, looking at the weekly chart the medium-term trend looks promising and indicating good upside potential in the stock price can be witnessed. 

The stock registered an all-time high in January 2015 and post that stock has seen a strong decline. In a matter of 9 months stock tumbled to 40 levels from 155 levels. Post forming a low in October 2018 (at 36 levels) stock has been trading in a sideways range. The stock has been oscillating in 50 points range from last two years i.e 35 to 85 levels. 

The long consolidation has emerged out has a Bullish Double Bottom price pattern. The Double bottom pattern is generally considered as a Bullish reversal pattern in nature and signals change in trend from bearish to bullish. This month stock price has registered a breakout from the same with supportive volumes. 

In recent months stock has witnessed. strong and sharp up move taking the price from around 50 to 100+ level. Looking at the strong up move, the price may consolidate here and gather strength for the next potential strong up move.

The Price-Volume indicator attached below is trading well above 0 zero reading and trending higher which is a bullish signal and compliments bullish view on price. 

The stock price is trading above 50,100,200 moving averages which suggest a positive trend and strength in stock price. The momentum indicator attached in the lower panel show indicator has surpassed its previous peak and inching higher which indicates strength and compliments a bullish view on price. 

Following price pattern, volumes, and other technical tools price has the potential to scale higher towards 120-133-150 in the medium-term.

The above view holds true until the price does not close below 84 levels. The strong support is visible around 95-88 levels.

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STAY SAFE STAY HEALTHY !!! 

Disc. The above-shared analysis is solely my view as per my understanding and knowledge and for educational purposes. I will not be responsible for any loss or gain incurred. 

Brigade Enterprise : Bullish reversal pattern breakout !!

 

Brigade Enterprise: Bullish pattern breakout with supportive volumes and momentum !!

This stock witnessed a fantastic upmove from Nov 2018 to Feb 2020. This stock would have delivered handsome returns to the investor who would have invested in that bull run period. The stock formed a bottom around 104 in November 2018 and made a peak in Feb 2020 around 255. 

However, Post strong and steady rally for almost about One and Half year, price registered Top in Feb 2020 and post that saw a sharp decline towards the level of 91 mark. In just three months time interval stock lost all its earlier gains and bought back price to the level of November 2018.

The stock reversed strongly from the support area of 95 levels and from thereon every dip in price has bought into. The stock started forming more wide bullish candles compared to bearish candles which hint bulls dominance over price.

In this process, the Stock price made a beautiful probable inverses Head and Shoulder pattern which is considered to be a bullish reversal pattern in nature. A few weeks back price registered a decisive breakout from the same with the formation of wide bullish candle and sizeable volumes. 

Post breakout price witnessed minor profit booking and dropped the price to retest the neckline of an inverse head and shoulder pattern. Stock price reversed retesting the neckline and formed bullish candlestick pattern signalling bulls back with force and the prior trend likely to resume. 

Another chart attached below highlights the action between price and volume in the course of sharp decline and recovery. The First Box (Black) focuses on the sharp decline in price with fewer volumes (small volumes bars) whereas, the second box (Green) marks a recovery phase from the lower level which sees an aggressive rise in volumes bars with the price. This hints probable big players are still in the game and recently over the course of upmove shall have added further with an increase in price. 

The next chart attached below displays the momentum indicator below the candlestick chart. After a decent amount of time, the indicator has turned from Red to Green which is a bullish signal and compliments bullish view in price. 

Also, the stock is trading above all major Exponential Moving Averages (9,20,50,100,200) which suggests a bullish trend in the stock price in all time frames i.e from short term to medium term.

Following price action, volumes and other technical tools price has the potential to scale higher towards 200-220-245 in the medium-term.

The above view holds true until the price does not close below 152 levels. The strong support is visible around 167-161 levels.

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STAY SAFE STAY HEALTHY !!! 

Disc. The above-shared analysis is solely my view as per my understanding and knowledge and for educational purposes. I will not be responsible for any loss or gain incurred. 

BAJAJ ELECTRICALS : SMALLCAP STOCK TO WATCH 0UT FOR !!

BAJAJ ELECTRICALS: MULTI MONTH DESCENDING CHANNEL BREAKOUT !!

This stock has witnessed a tremendous rally from Feb 2016 - April 2018. The stock saw a whopping northward move that period rallying almost from 150 to 700 approximately. That is an extremely strong move and definitely would have been cheerful for investors and traders 

Post a sharp up move, stock price topped out in late April 2018 and thereafter every rally in stock was sold into. The downtrend continued for almost more than 2 years. The stock started forming Lower highs and Lower lows formations which determine a bearish phase in the stock. 

In the bearish phase stock erased more than 75% of the gains which it had delivered in the bullish period. The stock almost plunged to the level of 250 from 700 levels. The stock made a bottom in April 2020 and post that stock has started forming Higher highs and Higher lows which signals a bullish trend in stock price.

From the chart attached below, it is evident that how price beautifully traded in Descending parallel channel when the price was in bears grip. The price made a bottom exactly at the lower end of the channel and thereafter a sharp rally which lead to gave a breakout from the long Descending channel which hints for a trend reversal in price action.

The breakout from the Descending channel was supported with volumes that provide further confirmation in price action. Also, the rally which took placed from the bottom has been well supported by volumes. The volumes bars size started to increases with increases in price which hints for a strong and genuine rally.

Recently, the stock witnessed a healthy correction in price which lost almost 100 points from the swing peak. The important point to note hear is, the volumes have been below average compared to prior bars which signal exit or profit-booking by retailers and big hands are still in the game.

The stock price has been trading above all major moving averages which suggest bullish trend in stock trend and dips towards the support shall be utilized as a buying opportunity.

Currently stock has placed near its previous horizontal resistance area (450 - 430) which also compliments with intermediate upsloping trendline support (Around 420-425). 

Following price action and volumes and other technical tools price has the potential to scale higher towards 540-610-700 in the medium term.

The above view holds true until the price does not close below 400 levels. The strong support is visible around 460 - 424 levels.

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STAY SAFE STAY HEALTHY !!! 

Disc. The above-shared analysis is solely my view as per my understanding and knowledge and for educational purposes. I will not be responsible for any loss or gain incurred. 

Godrej Properties : At inflection point !!

 

Godrej Properties: Set to resume its prior trend !?! 

This stock has remained one of the best company comparing to its peers in terms of Goodwill, Company Management, Company Fundamentals, Price Trend.

This stock has produced good returns for their investor in last 5-6 years. The stock price has grown multifold in the last 5-6 years and likely continue to perform well going forward.

Like most of the stocks, this stock also witnessed sharp selling from Early Feb 2020 till late March 2020. In absolute terms price tumbled heavily from 1168 to 505 levels. 

Analyzing the weekly chart of the stock price, it seems it has been trading in the Ascending parallel channel. The peak is formed near the Higher end of the channel where the bottom has formed near the lower end of the channel.

From the attached chart, it is evident how the price has traded in the channel and how the price has provided importance to the median line of channel historically.

Recently, the price has consistently found support near the Median line of the channel and has been consolidating near the same which suggests "the lull before the storm".

Also, near the same juncture price has accompanied with 20, Exponential moving average support which adds further weight to the support area. Looking historically this moving average has been respected by price nicely.

The stock price is trading well above short, medium, and long term moving averages which define bullish trend in price.

The volume activity seen recently is quite promising and compliments bullish view on price.

The chart attached above displays technical indicators along with a price chart.

The Momentum indicator attached beneath the price chart has entered into bullish territory which is bullish signal and compliments bullish view in price.

The Price-Volume indicator displayed in the last panel has reversed swiftly from 0 reading which is a bullish signal.

Following price action and indicator, positioning price has the potential to scale higher to challenge its previous high and test the upper boundary of the parallel channel line.

The above view holds true until the price does not close below 830 levels. The strong support is visible around 885 - 860 levels.

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Disc. The above-shared analysis is solely my view as per my understanding and knowledge and for educational purposes. I will not be responsible for any loss or gain incurred. 

 

CCL PRODUCTS : MULT-MONTH CHANNEL BREAKOUT !!!

CCL PRODUCTS : ATTRACTIVE CHART SETUP

The stock topped out in Feb 2017 and post that stock has been underperforming. 

After printing an All time high in Feb 2017, stock has been consistently making Lower high and lower lows. 

The underperformance continued almost for more than 3 years and now stock popping up some bullish signals. 

The stock was precisely trading inside Descending channel from last 3 year and now price has registered breakout from the same which marks an first bullish signal.

Moreover, the breakout has accompanied with surge in volumes and wide bullish candlestick.

From past few weeks stock price was struggling to break its previous swing high (260), however this week price has broke the ceiling and has closed above the same which is another positive signal.

Aswell, stock has been trading above 200 Exponential Moving Average which shows strength in price.

Furthermore, the Price-Volume indicator has reversed taking support near 0 reading which compliments bullish view in price.

The Strength indicator, MACD is above 0 reading and MACD edging higher converging its moving line which indicates prior trend likely to continue.

Following the price action and other indicators positioning, the stock price has potential to scale higher towards 310-350 in short to medium term.

The above view hold true till price does not close below 240 levels. The strong support is visible around 263-255 levels.

CCL PRODUCTS (W)
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Disc. The above shared analysis is solely my view as per my understanding and knowledge and for educational purpose. I will not be responsible for any loss or gain incurred. 

Balrampur Chini : At sweet spot !!

BALRAMPUR CHINI : SWEET DAYS AHEAD !?! 

This stock has been in my radar from last many days and looking at previous week price action it seems stock likely to attract bullish momentum going forward.

Looking at the longer term time frame chart, the stock has been forming one of my favourite pattern. The readers who are reading my blogs regularly will get the clue which pattern i am talking about.

The weekly chart attached below shows the stock has trading in long sideways parallel channel. The stock has been following this channel since last more than 2 and half years.

Generally, stock forms bottom near lower end of channel and sellers take over bulls near higher end of channel line and drops the price lower.

Recently, stock witnessed strong run up finding support near lower end of channel line and in this process price gave breakout from the median line after consolidating near the same for couple of weeks.

The breakout has emerge with wide long green candle and supportive volumes which signals bulls force/strength.

The stock has been trading above 200 Exponential Moving average which hints strength in trend.

The Price-Volume indicator attached beneath, has reversed finding support near 0 reading which compliments bullish view in price. 

Following the price action and other indicators positioning, the stock price has potential to test higher range of the channel line & challenge its previous swing high. 

The above mentioned view holds true till price does not close below 122 levels while the strong support is visible around 136-131 levels.

Balrampurchini weekly chart
(Click to Enlarge) 

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Disc. The above shared analysis is solely my view as per my understanding and knowledge and for educational purpose. I will not be responsible for any loss or gain incurred. 

Narayana Hrudayalaya : Heading to test Life time highs !!!

Narayana Hrudayalaya : Multi week consolidation breakout !!!

This stock has been listed recently and have trading records of approximately 4 years.

Post couple of months of listing, stock witnessed deep correction declining near 180 levels from all time high of around 380. After forming a low near 180, stock again gain upward momentum and challenged its previous highs.

However, price again witnessed sharp selling pressure from the previous supply zone and faced sharp decline and formed a low around 200 in a jiffy. 

In march 2020, stock printed a bottom around 200 and saw immediate rise towards 300 levels and from thereon price has been trading in narrow range.

Previous week, price managed to close above the resistance zone forming a bullish candle and hinting bulls likely to take leadership going forward.  

Price has been trading above short,medium and long term Moving Averages which signals strength in price. 

Also, price has given breakout from Squeeze Bollinger Band which hints price likely to extend its volatility in northward direction.

Moreover, the Price-volume indicator attached below, has entered into Positive Territory which compliments bullish view in price. 

Furthermore, Momentum oscillator (Second chart) has given bullish crossover after good amount of time which increases probability of breakout.

Looking at price action and positioning of other technical tools, i believe price has potential to challenge its previous life time high in coming weeks. The above mentioned bullish view terminates if price fails to produce upward momentum and closes below 275 levels. 

NH Weekly chart
(Click to enlarge)

NH Weekly chart
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Disc. The above shared analysis is solely my view as per my understanding and knowledge and for educational purpose. I will not be responsible for any loss or gain incurred. 

FDC : MULTI-YEAR BREAKOUT WITH VOLUMES

FDC LTD : BULLS MAKING THERE HOLD STRONGER !!

FDC Limited is a fully integrated research-oriented pharmaceutical company engaged in the manufacturing and marketing of Formulations (Finished Dosage Forms) and Active Pharmaceutical Ingredients (APIs). FDC's formulation department designs and develops products for various global markets and the highly regulated markets of US and Europe.

The stock price of FDC Ltd is currently quoting around All time high zone which indicates strength in price.
Recently, the stock has registered decisive breakout from the overhead horizontal resistance line with formation of strong bullish candle which gives a hint of dominance of bulls over bears.
Moreover, the stock has been forming Higher Highs and Higher low post making a bottom in early 2019.
The highlighting point is the behaviour seen in volumes. The rise in Stock price has been backed by well supported volumes. With every rise in price, Volumes bars has got larger which indicates.participation by Big and strong player.
The stock had earlier made an attempt and witnessed breakout from similar zone but failed to hold on at higher levels and saw profit booking.
This can be considered a PERFECT SHAKEOUT EXAMPLE. Which defines weaker hands fading out of the stock and entry by Large players at lower levels which is bullish signal.
Also, momentum oscillator is complimenting bullish view on price.
Looking at price action and other evident this stock becomes a strong buy candidate for following months.
As per my analysis and understanding stock has more upside potential and every dips shall be utilised as buying opportunity.
The view holds true till price does not close below 265 levels.

FDC Weeky chart
(Click to Enlarge)

FDC Weekly chart
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Disc. The above shared analysis is solely my view as per my understanding and knowledge and for educational purpose. I will not be responsible for any loss or gain incurred. 

APL Apollo Tubes : Decisive Breakout !!!

APL Apollo : Attractive Chart setup

The APL Apollo is one of the largest steel pipes manufacturer in India including Mild Steel pipes and Galvanized steel pipes.

The price genrally has a tendency to move in a Zig-Zag fashion. And this stock price chart is perfect examples of the same.
Analysing the weekly chart of APL Apollo,  stock has been trading in sideways range from last more than 2 years.
The stock price makes peak near higher end of the channel whereas bottom is formed near lower end of channel.
It is observed that once price witnesses breakout from median range of the channel price tends to continue towards previous peak and bottom. Similarly, recently price witnessed breakout from median line with strong bullish candle and surge in volumes.
Moreover, the strength indicator has turned positive from red which compliments bullish view in price.
Furthermore, momentum indicator and short term moving has turned bullish increasing probability of breakout.

The view holds true till price does not close below median channel line and till then any dips should be bought into. While on higher side, initially stock has potential to test higher end of the channel.

APL Apollo weekly chart
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Disc. The above shared analysis is solely my view as per my understanding and knowledge. I will not be responsible for any loss or gain incurred.

SBILIFE : STRONG BREAKOUT ON CHARTS.

SBILIFE - SEEMS HEADING TOWARDS 52 WEEK HIGH...!?! 

The insurance sector stocks has been among favourite investment picks for the investors, FII, DII etc.
The insurance sector stocks like HDFCLIFE, SBILIFE, ICICIPRULI have been most prefered stocks as they are owned by trustworthy and respectable companies.
As per my analysis and chart readings, my preferred stock among the three is SBILIFE. The analysis are as follow below:-

The stock topped out near 1000 in later 2019 and post Jan 2020, stock witnessed heavy selling pressure and in just few months price made low around 520. The area where price has formed bottom in 2018.
Post hiting the lows the stock has been rising gradually and has advanced nearly 60% from the lows.
In this process price has registered a decisive breakout from the median line of the Parallel channel with wide green candle which signals good buying force and dominance of the bulls.
Furthermore, the moving average line which provided strong support in previous rally. Recently price has surpassed above the same with moving avg slope towards North direction.
Moreover, the momentum oscillators are signalling sign of strength in price.
RSI has given breakout from the falling trendline which hints bullish momentum in price and MACD has given Bullish crossover and inching higher.

Till price holds above the median line, i believe any dips should be bought into and price likely to scale higher to test higher end of the channel line.

SBILIFE WEEKLY CHART.
(Click to Enlarge)

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Disc. The above shared analysis is solely my view as per my understanding and knowledge. I will not be responsible for any loss or gain incurred.

RADICO KHAITAN : NEW 52 WEEK HIGH POSSIBLE !?!

Radico Khaitan Ltd. 

This sector has been talking point and has seen good action in last couple of weeks.
Looking to the chart structures of stocks, i believe positive momentum likely to continue ahead aswell.
Among this space, Radico Khaitan is one such stock looking attractive on charts.
The chart attached below displays the stock has been trading in sideways channel band from last more than One & Half year.
The stock price finds selling pressure near high end of the range. While finds support near lower end of the range.
Recently, stock again finds support and reversed taking support near lower edge of the channel range.
This week price has registered breakout from the Middle range trendline with above average volumes.
Aswell, the oscillator added in lower panel has turned positive from negative. (Green to Red) indicating price breakout likely to hold and price to head higher to test higher end of channel range.
The above mentioned view holds true till price does not close below middle line (Red dotted line).

RADICO (W)
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