Technical Portfolio Guide
CHAMBAL FERTILISERS & CHEMICALS
CMP: Rs141.15
BSE Code:500085 C
can I enter Chambal Fertilisers for the medium-term as it has fallen considerably?
- Syed Ahmad
AVOID BUYING CHAMBLFERT FOR NOW
Chambal Fertilisers & Chemicals Ltd is currently trading at Rs 141.15. Its 52-week high/low stands at Rs 186/Rs 95.25 made on January 31, 2020, and March 23, 2020, respectively. Considering the weekly timeframe, the stock has formed a reversal Doji candlestick pattern as on the weekend of July 31, 2020. Currently, the stock is trading below its 20-day EMA (147.70), 50- day EMA (149.30), 100-day EMA (147.25), and 200- day EMA (147.20), which indicates a medium and a long-term downtrend. Among the momentum indicators, the 14-period weekly RSI has cooled off after touching the zone of 60 and at present, its reading is 46.20. The RSI is trading below its 9-week average and it is in a falling mode, which indicates a further downside momentum. The momentum indicator MACD line has crossed under the signal line, which resulted in the histogram turning negative. On the directional index, the bearish strength is higher than the bullish strength as +DI is much below the -DI on a daily scale. Considering all the above factors, we recommend you to avoid buying Chambal Fertilisers & Chemicals for now.
PAGE INDUSTRIES LTD
CMP: Rs18,361
BSE Code:532827
I have bought Page Industries at Rs 18,800 near support for the short-term. I expected it to bounce back but it fell even more. What should I do?
- Rishi Bhatia
EXIT IN PAGE INDUSTRIES AT THE CURRENT MARKET PRICE
Page Industries Ltd is currently trading at Rs 18,361. Its 52-week high/low stands at Rs 26,891/Rs 16,186.75 made on January 24, 2020 and March 24, 2020, respectively. After registering the low of Rs 16,254, the stock has witnessed a pullback rally. The pullback is halted near the 50 per cent retracement level of its prior downward rally (Rs 26,882.60-Rs 16,254) and it coincides with the 100-week EMA level. Recently, the stock has given a breakdown of upward sloping trendline support, which suggests a further bearish momentum. Currently, the stock is trading below its long and short-term moving averages. Talking about the indicators, the 14-period daily RSI is currently quoting at 31.80 and it is trading below its 9-day average. The daily MACD stays bearish as it is trading below its zero line and signal line. The histogram is suggesting a pickup in the downside momentum. Considering all the above factors, we recommend you to exit in Page Industries at the current market price.
APL APOLLO TUBES LTD
CMP:Rs2,465
BSE Code:533758
I am holding APL Apollo Tubes at Rs 1,900 for the medium-term. Should I hold or book profit?
- Uday Shirodkar
HOLD APLAPOLLO WITH A STOP-LOSS OF RS 2,300 ON A CLOSING BASIS
APL Apollo Tubes Ltd is currently trading at Rs 2,465. Its 52-week high/low stands at Rs 2,517.80/Rs 1,025 made on August 27, 2020 and March 19, 2020, respectively. The stock has formed a reversal spinning bottom candlestick pattern as on the weekend of March 27, 2020, and thereafter, marked the sequence of higher tops and higher bottoms. All the moving averages based trade set-ups are showing a bullish strength in the stock. Daryl Guppy’s multiple moving is also suggesting a bullish strength in the stock. The stock is trading above all the 12 short and long-term moving averages. The averages are all trending up, and they are in the desired sequence. Further, now, the stock is meeting Mark Minervini’s trend template rules. The leading indicator, 14-period weekly RSI is in a rising trajectory. The weekly MACD stays bullish as it is trading above its zero line and signal line. The trend strength indicator, average directional index (ADX), is above 40, which indicates strength. The +DI is much above the -DI. This structure is indicative of the bullish strength in the stock. Hence, we recommend you to hold APL Apollo Tubes with a stop-loss of Rs 2,300 on a closing basis.
BHARAT DYNAMICS LTD
CMP:Rs 316.20
BSE Code:541143
Can I buy the shares of BDL at present?
- Bhavik Samani
AVOID BUYING BHARAT DYNAMICS FOR NOW
Bharat Dynamics Ltd is currently trading at Rs 316.20. Its 52-week high/low stands at Rs 481.25/Rs 147 made on August 14, 2020, and March 24, 2020, respectively. The stock has formed a spinning bottom candlestick pattern as on March 27, 2020, and thereafter, bounced sharply up to its all-time high level. Recently, the stock has formed a Doji candlestick pattern on the weekend of August 14, 2020. Along with this bearish formation, the stock has also managed to close below its long and short-term moving averages, i.e. 20-day EMA, 50-day EMA, 100-day EMA, and 200-day EMA. Among the momentum indicators, the 14-period weekly RSI has cooled off after touching the overbought zone and at present, its reading is 47.44. The RSI is trading below its 9-week average and it is in a falling mode, which indicates a further downside momentum. The fading momentum is also indicated by the weekly MACD histogram that is declining for the last four weeks. Considering all the above factors, we recommend you to avoid buying Bharat Dynamics for now.