Technical Portfolio Guide
ADANI POWER LTD
CMP: Rs277.90
BSE Code:533096
I have the shares of Adani Power bought at Rs 290. What should I do?
- Raman S S
EXIT BELOW RS 253
You bought the shares near the current peak. From the last few days, the stock is forming two big bearish engulfing candles along with two indecisive long-legged Doji candles. The price structure, after a big run-up, suggests the trend, which has now entered into a counter-trend consolidation. There is a serious negative divergence in the RSI, which indicates bearish implications. The MACD also gave a fresh sell signal. The 20-DMA support is at Rs 253, and it has bounced back from this support. The 23.6 per cent retracement level is also at the same level. In any case, if the stock declines below this level, book a loss as it can test further lower levels towards the previous swing low.
INFLAME APPLIANCES LTD
CMP: Rs381.20
BSE Code:541083
What is the short-term outlook on Inflame Appliances?
- Pravendra Singh
CONSIDER AVOIDING THE STOCK
This BSE-listed company shows erratic price behaviour. Its inconsistent earnings, negative cash flow, and negative RoE are not good. It has high debt and low liquidity. Technically, the stock is making higher highs & higher lows and is in an uptrend. Most of the time, it is trading in circuits, which shows operating activity in the stock. It is better to avoid pur- chasing this stock as there are multiple options available in this sector
RELIANCE INDUSTRIES LTD.
CMP: Rs2,640.75
BSE Code:500325
I have bought shares of Reliance Industries bought at Rs 2,600. What is the appropriate level to book profit? -
Prashant Patil
SHORT TERM TRADERS CAN BOOK PROFIT AT CMP
The stock declined about 7.50 per cent from its recent new high due to the profit booking and market conditions. It took support at 20-DMA. The daily MACD has given a fresh sell signal. The directional indicators are at an influx point. A move below 20-DMA, it might lead to the domination of bears. The RSI fell below the prior minor low and showed a negative divergence. The Elder impulse system has formed a strong bearish bar. The TSI indicator has given a fresh sell signal. It is also below the 20-period TEMA. However, the rising ADX on the weekly chart shows improved trend strength. If you are a long-term investor, better hold it; otherwise, you can book profit at CMP.
BAJAJ FINANCE LIMITED
CMP: Rs6,311.10
BSE Code:500034
What is the good buying level for Bajaj Finance in the long term?
- Ankit A
A DECLINE BELOW RS 6200 WILL HAVE A NEGATIVE IMPACT
The stock is forming a Stage-3 consolidation pattern. It already formed a lower high & lower low, and the relative price (RS) is very poor at 25. The stock is trading below the key long-term as well as short-term moving averages and trading 22 per cent away from the prior pivot point. On the weekly chart, the stock is below the anchored VWAP support and TEMA. The KST and TSI indicators are in a bearish phase during this entire consolidation period. It is also below the 23.6 per cent retracement level of the prior uptrend. In any case, if it declines below Rs 6,200 will have a negative impact on the stock.