Technical Portfolio Guide
MINDA CORP
CMP: Rs 147.40
BSE Code: 538962
I have entered Minda Corporation at Rs 150 assuming that fresh buying will start, but the stock turned downside. What to do now?
- Arpit Mathur
EXIT MINDA CORP AT THE CURRENT PRICE.
Minda Corporation Ltd. is currently trading at Rs.147.40. Its 52-week high/low stand at Rs 216/Rs 106 made on February 12, 2018 and October 26, 2018 respectively. The stock attempted a bounce-back after hitting a double bottom pattern at 52-week low level. Thereafter, the stock, on the way up, had formed pattern which resembles a rising wedge, which is a bearish pattern on the daily time frame. Recently, it has given confirmation of a trend reversal by breaking the rising wedge’s support line in a convincing fashion. The breakdown was supported by volume spurts. The stock is trading below its short term moving average, i.e. 21-day EMA. On the daily time frame, the fast stochastic is trading below its slow stochastic line, which suggests bearish bias and the 14-period RSI too witnessed a negative crossover and is currently quoting around 47. Considering all the above factors, we recommend you to exit in Minda Corporation at the current price.
GODREJ AGRO
CMP: Rs 499
BSE Code: 540743
How is Godrej Agrovet from medium term point of view? -
- Vivek Singhal
AVOID GODREJ AGRO FOR NOW.
Godrej Agrovet Ltd. is currently trading at Rs 499. Its 52-week high/low stand at Rs 738/Rs 473.30 made on April 23, 2018 and December 11, 2018 respectively. The stock formed a kind of reversal shooting star pattern at all-time high of Rs 738 as on weekend of April 27, 2017, and thereafter, it marked a series of lower tops and lower bottoms. Currently, the stock is trading below its 50-day EMA (507.90), 100-day EMA (527.45) and 200-day EMA (553.05), which indicates a medium-long term downtrend. However, lower volumes and oscillators still tilted southward points to some more downside for now. The 14-period RSI is quoting around 47.58, and it is not able to cross the 60 mark since August 6,2018. The Average Direction Index (ADX) indicator on the daily time frame is quoting around 18.51 and it is in falling mode, which suggests there is no strength in any directional movement. Hence, we suggest you to avoid Godrej Agrovet for now.
KRBL
CMP: Rs 353.40
BSE Code:530813
I had bought shares of KRBL at Rs 320 after a breakout. What should I do now? - Sanjib Basu
BOOK PARTIAL PROFIT AT CMP AND HOLD REST WITH STOP LOSS OF RS 321
KRBL Ltd. is currently trading at Rs. 353.40. Its 52-week high/low stand at Rs 650/Rs 277.25 made on February 15, 2018 and December 11, 2018, respectively. On the daily time frame, the stock witnessed lower tops and slightly similar bottoms after hitting 52-week high. Thereafter, it gave a multiple touch point horizontal trendline support breakdown at Rs 425 and saw almost continuous downfall with volumes. Recently, after forming strong base around Rs 275, the stock has witnessed breakout of downward sloping trendline on the daily time frame along with decent volumes. Currently, the stock is facing some profit-booking near the 200-day EMA and the stock has made a double top pattern, which suggests correction before another northward movement. The 14-period RSI has cooled off after touching overbought zone and currently it is quoting around 63.45. The other oscillators and indicators are also in the overbought zone, but yet to confirm the reversal. Hence, we suggest you to book partial profit at the current price and hold small quantity with stop loss of Rs 321 on a closing basis.
VIP INDUSTRIES
CMP: Rs 481.25
BSE Code:507880
Can I buy shares of VIP Industries at CMP for the long term?
- Satish Patel
AVOID VIP INDUSTRIES FOR NOW.
VIP Industries Ltd. is currently trading at Rs.481.25. Its 52-week high/low stand at Rs 645.05/Rs 287.30 made on August 28, 2018 and March 19, 2018, respectively. After registering its 52-week high, the stock witnessed profit-booking. The profit booking was arrested near the 50 per cent retracement level of its entire upward move (Rs 116.40-Rs 647) started from January 2017 to its all-time high. Thereafter, the stock had formed bullish engulfing (outside day) candle near the retracement support and witnessed pull-back along with low volumes. At present, since last eight weeks, the stock is hovering around the key resistance level as defined by the 50 per cent retracement of the recent downward rally (Rs 647-Rs 375.50). The stock is currently trading below its short term moving averages, i.e. 50-day EMA and 21-day EMA. Moreover, the 14-period day RSI is quoting around 38.66, which indicates there is not much momentum in the stock for now. The volumes are too low to comment on. Hence, we suggest you to avoid buying VIP Industries for now.
HCC
CMP: Rs 13.28
BSE Code: 500185
I bought HCC at Rs 11 last month for the short term, What should I do now?
- Ketan Jani
BOOK PARTIAL PROFIT AT CURRENT PRICE AND HOLD THE REST WITH STOP LOSS OF RS 12.40 ON A CLOSING BASIS.
Hindustan Construction Ltd. is currently trading at Rs.13.28. Its 52-week high/low stand at Rs 36.78/Rs 8.42 made on January 25, 2018 and July 20, 2018 respectively. The stock formed a reversal bearish engulfing pattern on the weekend of February 2, 2018, and thereby fell along with higher volumes, making lower tops and lower bottoms till 52-week low level. Thereafter, the stock is trading in contracting consolidation since last eight months. Recently, after forming double bottom kind of pattern around Rs 10.50, the stock bounced sharply. The stock is currently trading just above its short-term moving averages, i.e. 20-day EMA, 50-day EMA, 100-day EMA, which suggests that the stock is in medium term uptrend. At present, since last three weeks, the stock is hovering around a key short-term resistance level as defined by the downward sloping trendline, but the reversal yet to be confirmed. The 14-period RSI is cooled off after facing resistance around 65 mark and currently it is quoting around 57.41. For further upside, the stock needs to form sizeable bullish candle above the trendline resistance. Considering all the above factors, we recommend you to book partial profit and hold the rest with stop loss of Rs 12.40 on a weekly closing basis, which is the recent swing low.
EQUITAS
CMP: Rs 120.90
BSE Code: 539844
Can I buy Equitas at the moment for the long term?
- Anand Rao
AVOID BUYING EQUITAS FOR NOW.
Equitas Holdings Ltd. is currently trading at Rs.120.90. Its 52-week high/low stand at Rs 173.40/Rs 78 made on May 18, 2018 and October 26, 2018 respectively. Considering the weekly time frame, the stock has been trading with lower tops, lower bottoms since its all-time high level, where it had formed Doji kind of pattern. 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 daily time frame, the stock is consistently trading below its crucial long term moving average, i.e. 200-day EMA. The 14-period RSI on the daily time frame made couple of attempts to sustain above the 60 mark, however, it failed and slipped lower. At present, the RSI is trading below its 9-day average and it is in a falling mode, which suggests downward momentum is likely to resume. Hence, we suggest you to avoid buying Equitas for now.