Technical Portfolio Guide

SAIL

CMP: Rs 75.05
BSE Code: 500113

I am holding shares of SAIL bought at Rs 85. However, the stock reversed from Rs 91 but I didn’t exit. What should I do?
 - Venkata Raja Gopal Racherla

EXIT STEEL AUTHORITY OF INDIA BELOW RS 75 

SAIL is currently trading at Rs 75.05. Its 52-week high/low stand at Rs 101.40/Rs 53 made on January 8, 2018 and September 28, 2017, respectively. Considering the weekly time frame, the stock had witnessed a multi-year rounding bottom pattern breakout at Rs 79-79.50 levels at the end of October 2017. The stock surged, but it hit a double top at Rs 101 level and tumbled up to Rs 67-68 levels, where it hit double bottom. Thereafter, the stock surged yet again, but it retreated from 61.8% retracement of the downward rally from double top to double bottom on a weekly closing basis. In case the stock bounces back from here, it will give trend reversal above Rs 86, or else it will continue southwards movement. We suggest you to exit below Rs 75.

GSFC

CMP: Rs 109.85
BSE Code: 500690

Can I average GSFC to recover my earlier losses in the stock?
- Swathi SatheeshKumar

AVERAGE GUJARAT STATE FERTILIZERS AND CHEMICALS ABOVE CLOSE OF RS 115.50

GSFC is currently trading at Rs 109.85. Its 52-week high/low stand at Rs 166.30/Rs 100.20 made on January 16, 2018 and June 29, 2018, respectively, depicting a downtrend from January. Considering the daily time frame, the stock hit double top near the 52-week high level at Rs 166 and, thereby, it witnessed sharp downside of up to Rs 113 level, which was its multiple support level. The stock attempted a bounce-back twice, but it resisted up to 50% retracement level and finally breached the Rs 113 level on the downside and hit Rs 100. Now, the volumes are justifiable and prices and oscillators have given positive divergence. We suggest you to wait and enter only above Rs 115.50 level on a closing basis.

INDOCO 

CMP: Rs 186.20
BSE Code: 532612

Can I buy Indoco Remedies at the moment?
- Yandra Kalyan 

AVOID INDOCO REMEDIES, FOR NOW

Indoco is currently trading at Rs 186.20. Its 52-week high/low stand at Rs 317/Rs 167.20 made on January 24, 2018 and June 27, 2018, respectively. Considering the daily time frame, the stock has tradedwith lower tops and lower bottoms till date. The stock also broke below its multiple support zone of Rs 175-180 levels.Considering the weekly time frame, the stock attempted a bounce-back from the support zone, but it resisted at 23.6% retracement level and retreated and is now trading at the same level. Below Rs 170, the stock may see some more correction. The volumes and oscillators suggest lack of momentum, for now. We suggest you to avoid.

RCF

CMP: Rs 73.90
BSE Code: 524230

I have bought RCF at Rs 73. However, the stock is not ready to move. What should I do?
 - Deepak Choudhary

EXIT RASHTRIYA CHEMICALS & FERTILIZERS BELOW

RS 68.50 RCF is currently trading at Rs 73.90. Its 52-week high/low stand at Rs 111.50/Rs 65.85 made on January 15, 2018 and June 5, 2018, respectively, depicting a downbeat since the start of the year. Considering the weekly time frame, the stock had witnessed a multi-year rounding bottom pattern breakout at Rs 73 level at the end of March 2017 and surged up to the 52-week high. Meanwhile, the stock has formed a kind of head & shoulders pattern with the neckline level near Rs 73 level, making it the resistance-turned-support level. Now, the stock is consolidating at the same level. We suggest you to exit below Rs 68.50 level. 

GMR INFRA

CMP: Rs 17.95
BSE Code: 532754

I wish to recover my losses in GMR Infra. What should I do?
- Venu Madhav Soanpet

AVERAGE GMR INFRASTRUCTURE ABOVE CLOSE OF RS 17.20

GMR Infra is currently trading at Rs 17.95. Its 52-week high/low stand at Rs 25/Rs 14.55 made on January 18, 2018 and June 1, 2018, respectively. Considering the weekly time frame, the stock had given an upward sloping trendline breakdown at Rs 18 level on June 1 week and tumbled up to Rs 14.55 level. Since last two weeks, the stock has bounced back as if for a pullback supported by rising volumes and the 14-period RSI positive crossover at Rs 43 level.Considering the daily time frame, the stock broke its rounding bottom breakout at Rs 17.20 level and is trading at the breakout level. We suggest you to average above Rs 17.20 on a closing basis.

HINDALCO

CMP: Rs 220.55
BSE Code: 500440

I am holding shares of Hindalco bought at Rs 230, but the stock is not going up. What to do now?
- Pankaj Bansal

EXIT HINDALCO INDUSTRIES BELOW RS 214

Hindalco is currently trading at Rs 220.55. Its 52-week high/low stand at Rs 283.95/Rs 195.40 made on January 5, 2018 and July 11, 2017, respectively. Considering the daily time frame, the stock resisted at 50% retracement of the recent downward rally from Rs 249 to Rs 216 level and fell again up to Rs 214 level. Thereafter, the stock witnessed range-bound movement from Rs 214 to Rs 224 levels. Hence, below Rs 214-216 levels, the stock may see a downfall. The oscillators have turned southwards. The stock is trading below its major EMAs at 50,100 and 200 levels, which are more or less at the same Rs 230-234 levels. We suggest you to exit below Rs 214.