Take Solutions gives symmetrical triangle breakout

The stock of Take Solutions Limited has given a symmetrical triangle breakout on the weekly timeframe. Further, this breakout is supported by a robust volume of more than nine times the 50-week average volume, indicating a strong buying interest by the market participants. The 50-week average volume was 41.80 lakh, while in the last week, the stock has witnessed a total volume of 362.95 lakh.  

With this triangle breakout, the stock, after a span of over 18 months, has managed to successfully close above its crucial long-term moving average i.e. the 200-day EMA. The stock has also managed to close above the upper Bollinger band and started band walk on both the weekly and the daily timeframe, which is a very bullish sign.  

Interestingly, the leading indicator i.e. the 14-period weekly RSI has surged above the 60 mark for the first time since June 2018. The weekly RSI is currently quoting at 62.21 and it is in a rising mode. The daily and weekly MACD stays bullish as it is trading above its zero line and signal line. Moreover, the other volume-based indicators like OBV and Money Flow Index are also very strong.   

Technically, all the factors are currently aligned in support of the bulls. Hence, we would advise the traders to be with a bullish bias. On the downside, important support for the stock is placed in the zone of Rs 41-Rs 39 while on the upside, immediate resistance is seen in the zone of Rs 68-Rs 71.70.  

On Friday, the stock of Take Solutions Ltd surged by 7.79 per cent and closed at Rs 57.40 per share. The stock opened at Rs 53.45 per share and hit an intraday high of Rs 58.90 and a low of Rs 53.10 per share on NSE.