Monte Carlo surges 10 per cent on registering the highest-ever YTD sales!
On January 4, Monte Carlo Fashions announced that the company has registered the highest-ever YTD sales. This positive news has led the stock to surge as much as 10 per cent, hitting the upper circuit. The company has recorded spectacular sales figures amid bone-chilling winter. The management has also provided positive commentary and is optimistic about delivering sustainable growth in the medium to long term.
On the technical chart, the stock gave a breakout from its symmetrical triangle-like pattern and has closed at its 52-week high. This price action was backed by huge volume, which is about 20-fold the previous day’s volume. This indicates active institutional interest in the stock. Moreover, the MACD has given a fresh buy signal. The trend indicator ADX indicates the strong strength of the trend. The RSI is in a bullish territory, which justifies the stock’s strength. The technical parameters suggest that the stock has the potential to claim 1,000-level in the medium term. Being fundamentally sound as well as technically strong, the stock deserves more attention!
We had recommended Monte Carlo at Rs 572.75 with a target price of Rs 620 in our Flash News Investment (FNI) dated November 29, 2021, vol. 38, no.6. The technical team at DSIJ is known for providing such insights in FNI, which our clients love to read. For more information, you can go through our Flash News Investment Weekly here:
https://www.dsij.in/products/magazine/flash-news-investment