ASTRAL gives trendline breakout

The stock of Astral Poly Technik Limited has given a downward sloping trendline breakout on the daily time frame along with robust volumes. Additionally, the stock had formed an opening bullish Marubozu candle on the breakout day, which added strength to the breakout. The opening bullish Marubozu candle has no shadow extending from the open price end of the body. The opening bullish Marubozu candle indicates an extreme bullishness.

All the moving averages are trending upside and they are in sequence. The stock is meeting Daryl Guppy’s multiple moving averages set-up rules as it is trading above both the short and long-term moving averages. The leading indicator RSI is currently quoting at 72.23 and it is in a super bullish zone. It has also given symmetrical triangle pattern breakout on daily time frame. The surge in +DI is suggesting the trend to strengthen further. Moreover, the other volume-based indicators like On-Balance Volume (OBV) and Money Flow Index (MFI) are also very strong.

Going ahead, we expect the bias to remain positive as long as the stock sustains above Tuesday’s low of Rs 1,155 level. On the higher side, the level of Rs 1,270, followed by Rs 1,380, would be seen as the next resistance zone for the stock.

On Tuesday, the stock of Astral Poly Technik closed at Rs 1,224 per share, surged by 6.58 per cent. The stock opened at Rs 1,155 per share and hit an intraday high of Rs 1,250 and a low of Rs 1,155 per share on NSE.