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
(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.

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)

If u enjoyed and liked the post do share, comment and follow the blog. Can also connect me on Twitter handle : @Rohanshah619.

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.