Technical Portfolio Guide

NETWORK18 MEDIA & INVESTMENTS LTD 

CMP: Rs  37.30
BSE Code: 532798

At the beginning of November, I bought the shares of Network 18 at Rs 40.20. The price nose-dived and never came back to the same level. Should I hold or sell it? - Satish Dahatonde

HOLD NETWORK 18 WITH A STOP-LOSS OF RS 35.50 ON A CLOSING BASIS
Network 18 Media & Investments Ltd is currently trading at Rs 37.30. Its 52-week high/low stands at Rs 50.05/Rs 14.85 made on July 22, 2020 and March 25, 2020, respectively. From the low of Rs 14.70, which was registered on March 25, 2020, the stock has gained over 240 per cent in the next 18 weeks. However, the stock has given a neckline breakdown of Adam & Adam double top pattern as of August 31, 2020, and thereafter, witnessed a correction. The correction is halted near the 50 per cent retracement of its prior upward move and coincides with the 50-week EMA level. Currently, the stock is trading above its short and long-term moving averages on both the weekly and the daily timeframe, which indicates a bullish trend. The stock is also meeting Daryl Guppy’s multiple moving averages set up rules. Talking about the indicators, the weekly RSI is in a rising mode and it is trading above its 9-week average. The stochastic has also given a positive crossover. Moreover, the weekly MACD stays bullish as it is trading above its zero line and signal line. Hence, we recommend you to hold Network 18 Media & Investments with a stop-loss of Rs 35.50 on a closing basis.

ALEMBIC PHARMACEUTICALS LTD

CMP: Rs 950.75
BSE Code: 533573

I have bought the shares of APLLTD at Rs 880. Should I hold or book profits? - Karthik Kumar

BOOK PROFIT IN APLLTD AT THE CURRENT MARKET PRICE
Alembic Pharmaceuticals Ltd is currently trading at Rs 950.75. Its 52-week high/low stands at Rs 1,150/Rs 436.10 made on December 18, 2020 and March 23, 2020, respectively. The stock has formed a hammer candlestick pattern as on the weekend of September 25, 2020, and thereafter, marked the sequence of gradual higher tops & higher bottoms. However, the stock has failed to sustain above its prior high of Rs 1,128.90, which resulted in the formation of a double top pattern on the daily chart. This pattern, near its all-time high level, indicates correction before another northward journey. Further, the stock has recently given a breakdown of the upward sloping trendline support on the daily chart, which is a bearish sign. With this, the stock has also slipped below its 100-day EMA level. Interestingly, in the recent pullback, the daily RSI has turned down exactly from the 60 mark. As per the RSI range shift rules, if the RSI fails to cross the level of 60, it results in the range shift of RSI. Currently, the RSI is in a falling mode on both the weekly and the daily timeframe. Moreover, the MACD line has crossed under the signal line, which resulted in the histogram turning negative. Hence, we recommend you to book profit in Alembic Pharmaceuticals at the current market price.

ASTRAZENECA PHARMA INDIA LTD

CMP: Rs 3,825.95
BSE Code: 506820

Can I buy the shares of AstraZeneca at the current levels? - Omprakash Singh

AVOID BUYING ASTRAZEN FOR NOW
AstraZeneca Pharma India Ltd is currently trading at Rs 3,825.95. Its 52-week high/low stands at Rs 4,970/Rs 1,888 made on September 08, 2020 and March 23, 2020, respectively. After registering a high of Rs 4,910, the stock has witnessed a correction. During this correction, the stock has slipped below the upward sloping trendline support, which is a bearish sign. Currently, the stock is trading below its short and medium-term moving averages, i.e. 20-day EMA, 50-day EMA, and 100-day EMA level. Among the momentum indicators, the 14-period weekly RSI has cooled off after touching the zone of 80 and at present, its reading is 42.81. The RSI is trading below its 9-week average and it is in a falling mode, which indicates a further downside momentum. The daily MACD stays bearish and the histogram is suggesting a pickup in the downside momentum. On the directional index, the bearish strength is higher than the bullish strength as +DI is much below the -DI. Hence, we recommend you to avoid buying AstraZeneca Pharma India for now.

TATA METALIKS LTD 

CMP: Rs 773.65
BSE Code: 513434

I have bought Tata Metaliks at Rs 600 for the medium term. Should I wait or exit with profits? - Himanshu Patel

HOLD TATAMETALI WITH A STOP-LOSS OF RS 735 ON A CLOSING BASIS
Tata Metaliks Ltd is currently trading at Rs 773.65. Its 52-week high/low stands at Rs 935/Rs 311.40 made on January 18, 2021, and March 25, 2020, respectively. The stock has formed a Doji candlestick pattern as of March 27, 2020, and thereafter, marked the sequence of higher tops & higher bottoms. Recently, the stock has given a horizontal trendline breakout on the weekly chart, which is a bullish sign. As the stock is trading near its 52-week high, it is trading above all the short and long-term moving averages. The stock is meeting the criteria of Mark Minervini’s trend template. The RSI is in a bullish territory on both the weekly and the daily timeframe. The MACD histogram is also suggesting a pickup in the upside momentum. Hence, we recommend you to hold Tata Metaliks with a stop-loss of Rs 735 on a closing basis.