Technical Portfolio Guide

COLGATE PALMOLIVE

CMP: Rs.1098 BSE Code: 500830

I am holding shares of Colgate Palmolive bought at Rs 1110. What should be my next action? 
- Lakshmi PVV

HOLD COLGATE-PALMOLIVE (INDIA) WITH A STOP LOSS OF RS 1065

Colgate Palmolive is currently trading at Rs 1098. Its 52-week high/low stand at Rs 1175.50/Rs 970 made on September 13, 2017 and May 16, 2017, respectively. The stock hit double top near Rs 1175 and double bottom near Rs 1022. Recently, after hitting Rs 1022.50 during March 23 week, it formed a reversal Doji and bounced back. However, since last five weeks, the stock is straggling at 61.8% retracement of the prior downward move from Rs 1175 to Rs 1022. On the daily time frame, the stock formed a long-legged Doji and retreated. Now the stock is trailing at its multiple support level of Rs 1084. Once the stock hits below Rs 1081, it may fall to its next support level of Rs 1067-1065.

BHARAT FINANCIAL INCLUSION

CMP: Rs.1143 BSE Code: 533228

I am holding Bharat Financial bought at Rs 1168. Should I book loss or hold for some more time? 
- Sudhir Ganatra

HOLD BHARAT FINANCIAL INCLUSION WITH A STOP LOSS OF RS 1090

Bharat Financial Inclusion is currently trading at Rs 1143. Its 52-week high/low stand at Rs 1172/Rs 650.60 made on April 24, 2018 and May 24, 2017, respectively. This means that the stock is trailing at all-time high levels. Considering the monthly time frame, the stock has witnessed consistent rise on a monthly closing basis since June 2017, except for one breather in February 2018. Considering the daily time frame, the stock is off its all-time high level after resisting multiple times and is consolidating at higher levels. The low volumes and the RSI below 55 is not letting it gain momentum. We suggest you to hold up to Rs 1090 level.

RAIN INDUSTRIES

CMP: Rs.327.65 BSE Code: 500339

I have bought Rain Industries at Rs 359 level and made huge losses. What to do now?
- Deepak Konnur

AVERAGE RAIN INDUSTRIES AT CMP

Rain Industries is currently trading at Rs 327.65. Its 52-week high/low stand at Rs 475.50/91.80 made on January 9, 2018 and May 25, 2017, respectively. After hitting 52-week and all-time high level, the stock fell up to its major support levels near Rs 295-305. It then bounced back but witnessed multiple resistances at Rs 409 level, which is 50% retracement of the stock's prior downward rally. It again retreated and fell up to Rs 304-305 levels and consolidated there for four sessions. The level is the 200-day EMA support level. Recently, on May 9, the stock surged breaking its first minor resistance at Rs 331 level, supported by rise in volumes. We suggest you to average to minimise your losses.

KARNATAKA BANK

CMP: Rs.112.60 BSE Code: 532652

I had entered Karnataka Bank at Rs 119 levels assuming it to be a breakout, but the stock turned back. What to do now?
- Hina Singh

AVOID KARNATAKA BANK FOR NOW, ENTER ABOVE RS 123 (CLOSE)

Karnataka Bank is currently trading at Rs 112.60. Its 52-week high/low stand at Rs 181.15/Rs 106.95 made on June 2, 2017 and April 2, 2018, respectively. The stock failed to break downward sloping trendline on January 18, carried down from its 52-week high. Thereafter, it fell sharply, shedding more than 35%. The stock has bounced back up to Rs 127 but it is consolidating at those levels. The comparatively lower volumes and the 14-period RSI quoting at 44 suggest lack of momentum. However, the stock has a multiple point downward sloping trendline breakout at Rs 122-123 and the stock is trailing at those levels. Hence, we suggest you to avoid for now and enter above Rs 123 on a closing basis.

HEG

CMP: Rs.3086 BSE Code: 509631

I had purchased HEG at the breakout level of Rs 3040, but it turned back after hitting Rs 3500. I am still holding. What to do?
- R. Venugopal Reddy