UJJIVAN gives a symmetrical triangle breakout

The stock of Ujjivan Financial Services Limited has given a symmetrical triangle breakout on daily time frame. This breakout was confirmed by the above 50-day average volume. Additionally, the stock formed a sizeable bullish candle on the breakout day, which adds strength to the breakout.

The major trend of the stock is bullish as it is trading above its weekly pivot and above its long and short-term moving averages, i.e. 20-day, 50-day, 100-day and 200-day EMAs and these moving averages are exactly in an ascending order, which suggests that the trend is strong. The leading indicator, 14-period daily RSI is currently quoting at 66.47 and it has given a breakout of falling wedge pattern. The daily momentum indicator MACD line has crossed above the signal line, which resulted in the histogram turning positive. Moreover, the weekly and daily stochastic has also given a positive crossover, which depicts a positive momentum.

Going ahead, the stock has a strong support in the zone of Rs 342-338, while on the higher side; the major resistance is placed in the zone of Rs 371-375.

On Friday, the stock of Ujjivan Financial Services closed at Rs 361.60 per share, surged by 4.49 per cent. The stock opened at Rs 345.90 per share and hit an intraday high of Rs 366.05 and a low of Rs 342.75 per share on BSE.