Technical Portfolio Guide
PAGE IND
CMP: Rs.24220.65
BSE Code: 532827
Can I Buy Page Industries as it has fallen tremendously?
- Biswajit Chatterjee
AVOID BUYING PAGE INDUSTRIES FOR NOW
Page Industries Ltd is currently trading at Rs 24220.65 Its 52-week high/low stand at Rs 36335.95/Rs 17280 made on August 28, 2018 and February 6, 2018, respectively. The stock has witnessed strong upmove in calendar year 2018 started from the low of February 2018 to its all-time high made in August 2018. After touching its all-time high, the stock witnessed profit-booking. Recently, it broke important support level of Rs 25000, which is the 61.8 per cent Fibonacci retracement level of the entire upward rally started from the low of February to its all-time high in August. On the daily time frame, the stock is trading below its crucial long term moving average, i.e. 200-day EMA. The 14-period daily RSI is quoting around 34.15, which is negative for the stock. Hence, we recommend you to avoid buying Page Industries for now.
FIEM IND
CMP: Rs.571
BSE Code: 532768
I bought the shares of Fiem Industries at Rs 590 for the short term, but I have seen stock falling continuously. What to do now?
- Jijith T K
EXIT FIEM INDUSTRIES
Fiem Industries Ltd is currently trading at Rs 571. Its 52-week high/low stand at Rs 1057.95/Rs 471.10 made on January 5, 2018 and October 5, 2018, respectively. The stock witnessed breakdown from the rectangle pattern in the month of June 2018 and went on to mark 52-week low in the month of October. After registering 52-week low, the stock witnessed a pullback rally of about 38 per cent and, thereafter, the stock is seen trading in a narrow contracting consolidation range with a negative bias. The stock is trading below its important moving average, i.e. 200-day EMA on the daily chart and also its 100-week EMA on the weekly chart, which is a negative for the stock. On the weekly RSI, it has witnessed a negative crossover. Hence, we suggest exiting the stock on a bounce-back.
RENUKA
CMP: Rs.11.27
BSE Code: 532670
Can I enter in Renuka Sugar at Current market price?
- Anuj Somani
AVOID BUYING RENUKA FOR NOW
Shree Renuka Sugar Ltd is currently trading at Rs 11.27. Its 52-week high/low stand at Rs 18.60/Rs 9.69 made on December 6, 2017 and July 20, 2018, respectively. Since last four years, the stock has been trading in a narrow consolidation along with relatively low volumes. Considering the weekly time frame, the stock is consistently trading below its crucial long term moving average, i.e. 200-weekly EMA. The 14-period weekly RSI is quoting around 40.74, which is not able to cross above the 60 mark since early August 2017. All other indicators and oscillators are in bearish territory, which predicts more downside in the coming weeks. Therefore, we suggest you to avoid buying Renuka for now.
MEGH
CMP: Rs.56.05
BSE Code: 532865
The valuations of Meghmani Organics looks attractive, Can I enter at the current price for the long term?
- Arjun Udani
BUY AT CURRENT PRICE WITH STOP LOSS OF RS 50 ON A WEEKLY CLOSING BASIS.
Meghmani Organics Ltd is currently trading at Rs 56.05. Its 52-week high/low stand at Rs 126/Rs 55 made on January 10, 2018 and November 9, 2018, respectively. The stock, after witnessing a strong upmove from the lower level of Rs 18.25 in February 2016 to the level of Rs 129.40 in November 2017, had spent a major part of the calendar year 2018 in a correction zone which is likely to halt in the coming weeks. Considering the weekly scale, the stock has strong support zone at Rs 55-Rs 50 as its crucial long term moving average, i.e. 200-week SMA is placed there and it coincides with 61.8 per cent Fibonacci retracement level of the entire upward move started from the low of October 2013 to its all-time high in November 2017. On the daily scale, all the indicators and oscillators are in the oversold zone. Considering all these factors, we recommend you to buy at the current price with stop loss of Rs 50 on a weekly closing basis.
PNB
CMP: Rs.66.10
BSE Code: 532461
Looks like PNB is recovering after a huge fall, Can I enter at the current price?
- Chandrasekhar Basam
AVOID BUYING PNB FOR NOW.
Punjab National Bank is currently trading at Rs 66.10. Its 52-week high/low stand at Rs 197.60/Rs 58.65 made on January 25, 2018 and September 28, 2018, respectively. From early February 2018, the stock has been falling consistently along with higher volumes and marking a series of lower lows. After registering 52-week low, the stock has witnessed a bounce-back along with low volumes, which indicates it is just a pull-back and the downtrend is likely to resume in the coming weeks. On the weekly time frame, the stock is consistently trading below its crucial long term moving average, i.e. 200-week SMA. The 14-period RSI on the daily time frame made couple of attempt to cross the 60-mark, however, it failed and slipped lower and, at present, the RSI is trading below its 9-day average and is in a falling mode, which indicates the downward momentum is likely to resume. Considering all the above factors, we recommend you to avoid buying PNB for now.
LEMONTREE
CMP: Rs.66.55
BSE Code: 541233
Can I buy Lemon Tree Hotels at the current market price?
- Bharat Sharma
AVOID BUYING LEMON TREE FOR NOW.
Lemon Tree Hotel is currently trading at Rs 66.55 Its 52-week high/low stand at Rs 91/Rs 57.30 made on April 23, 2018 and April 9, 2018, respectively. Considering the weekly time frame, the stock formed outside bar candle with long upper shadow last week, which predicts bears taking control. The stock is placed right at the edge of the rising trendline support formed by joining lows of April 2018 and October 2018 and a decisive close below this trendline support would invite further sell-off in the stock. The stock is currently trading below its crucial short term moving average, i.e. 20-day EMA, which is negative for the stock. Hence, we recommend you to avoid buying Lemon Tree for now.
Disclaimer:
1) Some of the companies covered in this section do not have good volumes on the bourses. Technical analysis works much better in cases where volumes on the stock are high. Investors please take note of the same.
2) Recommendations in this section are purely based on Technical Analysis. FNIW may or may not look at the Fundamental Strength of the recommended stocks.