Technical Portfolio Guide
IRCON INTERNATIONAL LTD
CMP : Rs106.35
BSE Code : 541956
I have bought the shares of Ircon International Ltd at Rs 77 for the short-term. Should I hold or book profits?
- Pankaj Joshi
HOLD IRCON WITH A STOP-LOSS OF RS 94 ON A CLOSING BASIS
Ircon International Ltd is currently trading at Rs 106.35. Its 52-week high/low stands at Rs 119.76/Rs 58.20 made on February 19, 2020 and March 24, 2020, respectively. The stock has formed a bearish belt hold candlestick pattern as of December 11, 2020 and thereafter, witnessed a consolidation, which resulted in the formation of a symmetrical triangle pattern. Recently, the stock has given a breakout of the triangle pattern, which indicates bullish momentum. With this triangle breakout, the ADX, which shows the strength of the trend, turned upside and moved above the -DI. Further, this breakout is confirmed by a robust volume. Currently, the stock is trading above its short and long-term moving averages on the daily chart. These moving averages are exactly in the desired sequence, which indicates that the trend is strong. Interestingly, the weekly RSI has surged above the 60 mark for the first time since February 2020. The daily RSI is in a bullish trajectory and it is in a rising mode. The MACD line just crossed the signal line, and the histogram became green. Hence, we recommend you to hold Ircon International with a stop-loss of Rs 94 on a closing basis.
MULTI COMMODITY EXCHANGE OF INDIA LTD
CMP : Rs1,492
BSE Code : 534091
Can I buy MCX at the current levels?
- Sushil Shukla
AVOID BUYING MCX FOR NOW
Multi Commodity Exchange of India Ltd is currently trading at Rs 1,492. Its 52-week high/low stands at Rs 1,875/Rs 805.05 made on October 26, 2020 and March 25, 2020, respectively. The stock has formed a bearish pin bar like candle as on the weekend of October 23, 2020 and thereafter, slide into a consolidation. Recently, the stock has formed a lower top on the weekly chart, which is a bearish sign. Further, on the daily chart, the stock has given an upward sloping trendline support breakdown, which indicates a bearish momentum. With this, the stock has slipped below its crucial long-term moving average, i.e. the 200-day EMA level. Talking about the indicators, the weekly RSI is trading below its 9-week average, and it is in a falling mode. Further, in the recent pullback rally, the weekly RSI has reached 60.20 level and turned down exactly from there. As per the RSI range shift rules, if the RSI fails to cross the level of 60, has resulted in the range shift of RSI. The MACD stays bearish as it is trading below its zero line and signal line on both the weekly and the daily chart. Considering all the above factors, we recommend you to avoid buying Multi Commodity Exchange of India for now.
JINDAL STAINLESS (HISAR) LTD
CMP : Rs125.20
BSE Code : 539597
Please suggest what should I do with JSLHISAR, which I bought at Rs 75 for the medi-um-term?
- Kamal & CO.
BOOK PROFIT IN JSLHISAR AT THE CURRENT MARKET PRICE
Jindal Stainless (Hisar) Ltd is currently trading at Rs 125.20. Its 52-week high/low stands at Rs 164.80/Rs 30.40 made on January 08, 2021 and March 25, 2020, respectively. The stock has formed a hammer candlestick pattern as on the weekend of March 27, 2020, and thereafter, marked the sequence of higher tops & higher bottoms. However, after registering the 52-week high, the stock has witnessed a correction. During this corrective phase, the stock has slipped below its crucial short-term moving averages, i.e. the 20-day EMA and 50-day EMA levels. Among the momentum indicators, the 14-period weekly RSI has cooled off after touching the zone of 77-78 and, at present, its reading is 54.57. The RSI is trading below its 9-week average, and it is in a falling mode, which indicates a further downside momentum. On the weekly chart, the momentum indicator MACD line has crossed under the signal line, which resulted in the histogram turning negative. Considering all the above factors, we recommend you to book profit in Jindal Stainless (Hisar) at the current market price.
KRBL LTD
CMP : Rs 194
BSE Code : 530813
I have bought KRBL at Rs 276 for the short-term. Should I wait or exit with profits?
- Ashish Jain
EXIT IN KRBL AT THE CURRENT MARKET PRICE KRBL Ltd
is currently trading at Rs 194. Its 52-week high/low stands at Rs 339.60/Rs 91.25 made on August 11, 2020 and March 26, 2020, respectively. The stock has formed a shooting star candlestick pattern as on the weekend of August 14, 2020 and thereafter, marked the sequence of lower tops & lower bottoms. Currently, the stock is trading below its short and long-term moving averages, i.e. the 20-day EMA, 50-day EMA, 100-day EMA, and 200-day EMA level. These moving averages are in a falling mode, which is a bearish sign. The leading indicator i.e. the 14-period RSI is in a bearish territory on both the weekly and the daily chart. The MACD stays bearish as it is trading below its zero line and signal line. Moreover, on the directional index, the bearish strength is higher than the bullish strength as +DI is much below the -DI. Considering all the above factors, we recommend you to exit in KRBL Ltd at the current market price.