Technical Portfolio Guide

D-LINK 

CMP: Rs 75.50
BSE Code:533146

Can I buy shares of D-Link at present for the short term? 

- Valsarajan Raman 

BUY ONLY ABOVE RS 86.

D-Link (India) Ltd is currently trading at Rs 75.50. Its 52-week high/low stand at Rs 153.30/Rs 62.15 made on January 10, 2018 and October 8, 2018, respectively. The stock is consistently trading in the lower top, lower bottom sequence since January 2018. Since last five months, the stock is trading in a narrow range along with low volumes. However, recently, after building a strong base around Rs 67- Rs 70, the stock has managed to witness a sharp pullback. At present, the stock has reached near its resistance zone of Rs 83-Rs 86 as it is the confluence of 200- day simple moving average and downward sloping trendline resistance formed by joining swing highs since April 24, 2018 on the daily time frame. For any further upside, the stock needs to close above the level of Rs 86. Considering the above factors, we recommend a Buy on D-Link only above Rs 86. 

L&T INFOTECH 

CMP: Rs 1735
BSE Code:540005 

I have bought L&T Infotech at Rs 1733.55, but the stock is not moving. What to do now? 

- Chandan Kumar Jha 

HOLD WITH A STOP LOSS OF RS 1650 ON A CLOSING BASIS 

Larsen & Toubro Infotech Ltd is currently trading at Rs 1735. Its 52-week high/low stand at Rs 1990/Rs 1078 made on September 10, 2018 and January 18, 2018, respectively. After registering its 52-week high, the stock in the month of September 2018 saw a healthy correction, which is viewed as secondary corrective phase within the primary uptrend, which has rested near the 50 per cent retracement of entire upward move started from the low of November 2017 to its all-time high. Since last three weeks, the stock is consolidating in a range along with low volumes. In the event of such consolidation, it is important to hold the 200-day moving average, which is currently placed at Rs 1663. On the upside, the stock is likely to touch Rs 1830, followed by 1860, in the near term. Hence, we recommend you to Hold L&T Infotech with stop loss of Rs 1650 on a closing basis. 

BASF 

CMP: Rs 1561.15
BSE Code:500042 

Can I enter BASF at the current price to recover my earlier losses? 

- Ashish Pathak 

AVOID BASF FOR NOW 

BASF India Ltd is currently trading at Rs 1561.15. Its 52-week high/low stand at Rs 2430/Rs 1502.40 made on January 8, 2018 and December 6, 2018, respectively. After registering its 52-week high, the stock has been falling consistently and making series of lower lows. Currently, the stock is trading below its 20-day EMA (1570), 50-day EMA (1607), 100-day EMA (1687.50) and 200-day EMA (1762.75), which indicates a medium-long term downtrend. On the daily chart, it has been continuously trading below its 200-day EMA level from August 2018. However, the volumes and oscillators are too poor to suggest any momentum. The 14-period daily RSI is quoting around 42.18 and the stock was not able to cross the 60 mark since August 9, 2018. The Average Directional Index (ADX) indicator on the daily time frame is quoting around 8.70, which suggests there is no strength in any directional momentum. Considering all the above factors, we recommend you to avoid buying BASF for now. 

CHAMBAL FERTILISERS 

CMP: Rs 151.75
BSE Code: 500085 

Can I buy shares of Chambal Fertilisers at the current levels? 

- Surya Kiran 

BUY ONLY ABOVE RS 161. 

Chambal Fertilisers and Chemicals Ltd is currently trading at Rs 151.75. Its 52-week high/low stand at Rs 209.45/Rs 128.25 made on April 27, 2018 and October 8, 2018, respectively. After registering 52-week high, the stock has entered into a phase of healthy correction. The correction halted the near long term 100-week EMA, and thereafter, the stock is trading in contracting consolidation since last four months. However, considering the daily time frame, the stock has currently reached near the downward sloping trendline resistance formed by connecting swing highs since August 2018 and it coincides with the long term moving average, i.e. 200-day SMA, which is currently placed at Rs 157. For any further upside, the stock needs to form a sizeable bullish candle above this resistance, along with decent volumes. Considering all the above factors, we recommend a Buy on Chambal Fertilisers only above Rs 161. 

SUBROS 

CMP: Rs 270.40
BSE Code:517168 

Can I buy shares of SUBROS as the stock has fallen a lot? 

- Mohit Bansal 

AVOID SUBROS FOR NOW 

Subros Ltd is currently trading at Rs 270.40. Its 52-week high/low stand at Rs 442/Rs 234.70 made on January 12, 2018 and October 9, 2018, respectively. After registering 52-week low the stock is trading in a contracting consolidation since last four months, along with low volumes. Currently, the stock is trading below its 50-day EMA (276.80), 100-day EMA (286.40) and 200-day EMA (292), which indicates a medium-long term downtrend. After looking at the daily chart, it has been continuously trading below its 200-day EMA level since September 28,2018. However, the volumes and oscillators are too poor to suggest any momentum. The 14-period RSI is quoting around 52.57, and it has recently given a negative crossover. Considering all the above factors, we recommend you to Avoid buying Subros for now 

CGCL 

CMP: Rs 131.20
BSE Code: 531595 

I am holding CGCL at Rs 105, but could not sell at the top made recently. What do I do now? 

- Arijit Bhattacharya 

BOOK PROFIT AT THE CURRENT PRICE. 

Capri Global Capital Ltd is currently trading at Rs 131.20. Its 52-week high/low stand at Rs 139.70/Rs 72.60 made on December 13, 2018 and July 20, 2018, respectively. Recently, after taking support near the 100-week EMA, the stock formed an outside day candle, which resembles a bullish engulfing candle on the weekly scale as on weekend of October 12, 2018. Thereafter, it witnessed a sharp pullback. However, since last four weeks, the stock is trading in a range along with relatively higher volumes, which indicates ongoing profit-booking. Among the momentum indicators, the 14-period weekly RSI is quoting around 59.62, where there is also a negative divergence. The stochastic has also given negative crossover in the overbought zone, which predicts a pause in the trend. Considering all the above factors, we recommend you to book profit in CGCL at current price.