GTPL wins EPC order, stock shows consolidation breakout

Digital cable television and broadband service provider GTPL Hathway won order worth Rs. 1,246 crore. Polycab Wires is partnering with the company to complete the project. The stock of GTPL gave a sharp impulse at 14:30 hours ahead of the news after the lethargic movement before the afternoon session. 

The company won an EPC order in Gujarat inclusive of survey, design, plan, execution using active/passive i.e. OSP and Electronics components. GTPL will act as project implementation agency (PIA) of package B. The said project is for implementation of Bharatnet Phase-II project by Gujarat Fibre Grid Network. 

The stock had opened on a positive note, up 1.65 points from the previous close and gave a breakout of 4 days consolidation. Earlier, the stock was trading with lower tops and lower bottoms since January 25, 2018 where it had formed a bearish reversal Shooting Star pattern. On September 27, the stock gave a bullish reversal Doji after hitting its 52-week low at 60.35. Thereafter the stock consolidated for straight 10 days followed by sharp upside for the next three consecutive days up to 107.50. However, the stock could not sustain the rally and three consecutive days fall and traded in consolidation. 

Overall, the stock has witnessed tremendous volatility since Mid-October in an attempt for a bounce back. Oscillators suggest activeness, but volumes are not consistent. The stock is trading below its 100 and 200 day EMA, but is heading towards Oscillators.