Technical Portfolio Guide
ANDHRA BANK
CMP: Rs. 24.35
BSE Code: 532418
Can I enter Andhra Bank as it has fallen considerably?
- Chandra Prakash Jain
AVOID BUYING ANDHRA BANK FOR NOW.
Andhra Bank Ltd. is currently trading at Rs 24.35. Its 52-week high/low stand at Rs 49.85/Rs 23.90 made on February 14, 2018 and February 6, 2019, respectively. After witnessing double top around Rs 73.45 as on weekend of October 27, 2018, the stock has seen lower tops and lower bottoms since then. With this, the stock gave breakdown of upward sloping trendline at Rs 51 and gave almost continuous downfall with rising volumes, where the stock hit below its major support at Rs 45 and Rs 35 levels. Considering the daily time frame, the stock has been continuously trading below its 200-day SMA since early January 2018. The poor volumes and oscillators are still tilted southward, which point to some more downside for now. Considering all the above factors, we recommend you to avoid buying Andhra Bank for now.
KEI INDUSTRIES
CMP: Rs. 363.10
BSE Code: 517569
I am planning to buy shares of KEI Industries Ltd for the short term. Is this the right time to invest in this stock? Please advise.
- Ravi Meena
BUY ONLY ABOVE RS 400 ON A CLOSING BASIS
KEI Industries Ltd. is currently trading at Rs 363.10. Its 52-week high/low stand at Rs 494.80/Rs 248.40 made on May 30, 2018 and October 23, 2019, respectively. The stock, after hitting its 52-week high, entered into a corrective phase and touched a low of Rs 248.40. The correction was arrested near 50 per cent retracement of the prior upward rally which started from the low of February 2014 to its all-time high. At present, the stock is hovering around the key resistance level as defined by the downward slopping trendline on the daily time frame. The 14-period day RSI took support around the level of 40 and, at present, it is trading above its 9-day average, which is positive for the stock. Meanwhile, recently, it managed to give a close above its 100-day EMA. However, for further upside, the stock needs to form sizeable bullish candle above the trendline resistance. Hence, we suggest you to buy KEI Industries Ltd only above Rs 400 on a closing basis, if the volumes and indicators are supportive.
IFB INDUSTRIES LTD
CMP: Rs. 726.85
BSE Code: 505726
I purchased 200 shares of IFB Industries at Rs 855 per share last month. Please tell me the target price for one year. Also please tell me about the technical outlook for the stock. - Dinesh Harwani
EXIT AT THE CURRENT PRICE
IFB Industries Ltd. is currently trading at Rs 726.85. Its 52-week high/low stand at Rs 1449.10/Rs 726 made on March 1, 2018 and February 5, 2019, respectively. After registering its 52-week high, the stock marked a series of lower tops and lower bottoms. At present, the stock is trading below its 20-day EMA (805.70), 50-day EMA (842.15), 100-day EMA (902.50) and 200-day EMA (977.70), which indicates a medium-long term downtrend. Considering the daily time frame, the stock has been continuously trading below its 200-day SMA since early July 2018. The volumes are very low and oscillators are lying below 50 and tilted southward, which depicts some more downside for now. Hence, we recommend you to exit from IFB Industries Ltd at the current price if you do not wish to keep your capital locked in for long.
CESC LTD
CMP: Rs. 719.05
BSE Code: 500084
I have entered in CESC at Rs 690 level for the short term. Shall I keep it or exit?
- Vinay Victor
BOOK PARTIAL PROFIT AT CURRENT PRICE AND HOLD THE REST WITH STOP LOSS OF RS 685 ON A CLOSING BASIS.
CESC Ltd. is currently trading at Rs 719.05. Its 52-week high/low stand at Rs 851.14/Rs 624.76 made on May 10, 2018 and October 1, 2018, respectively. Considering the weekly time frame, the stock witnessed lower tops and lower bottoms in the six months from the 52-week high to 52-week low. Thereafter, the stock was trading in a narrow range since last four months. At present, the stock has given breakout of horizontal trendline on the daily time frame and made a high of Rs 733.05. For further upside, the stock needs to clear two major hurdles; one is the downside opening gap (Rs 864-Rs 740) created on October 30, 2018, second one is the 100-day SMA which is currently placed at Rs 750.60. The stock is likely to witness some profit booking at these levels. Indicators and oscillators are trading near the overbought zone, but these are yet to confirm reversal. Hence, we suggest you to book partial profit at the current price and hold some quantity with stop loss of Rs 685 on a closing basis, which is the short term 21-day SMA.
BHARAT PETROLEUM CORPORATION
CMP: Rs. 339.50
BSE Code: 500547
I wish to buy BPCL for the short term. Should I buy now or wait?
- D BALAJI
BUY BPCL ONLY ABOVE RS 360 ON A CLOSING BASIS.
Bharat Petroleum Corporation Ltd. is currently trading at Rs 339.50. Its 52-week high/low stand at Rs 493.55/Rs 239 made on February 8, 2018 and October 5, 2018, respectively. The stock formed reversal shooting star pattern below the 200-day SMA on February 8, 2018 and, thereafter, it had marked series of lower tops and lower bottoms up to its 52-week low. Since then, the stock is trading with gradual higher tops and higher bottoms. At present, the stock has made couple of attempts to close above the 200-day SMA and upward sloping trendline, but it failed and fell down. However, poor volumes and 14-period day RSI is quoting at 43.31 level, which depicts lack of momentum for now. For any further upside, the stock needs to form sizeable bullish candle above the 200-day SMA and the upward sloping trendline. Hence, we suggest you to buy BPCL only above Rs 360 on a closing basis, if the RSI and volumes support.
GUJRAT PIPAVAV PORT LTD
CMP: Rs. 82.60
BSE Code: 533248
I want to buy shares of GPPL. Is this the right time to enter?
- Hariharan Vengadasubramanian
AVOID BUYING GPPL FOR NOW
Gujrat Pipavav Port Ltd. is currently trading at Rs 82.60. Its 52-week high/low stand at Rs 159.80/Rs 81.55 made on February 15, 2018 and February 6, 2019, respectively. After registering its all-time high, the stock marked a series of lower tops and lower bottoms. At present, the stock is trading below its 20-day EMA (87.80), 50-day EMA (92.85), 100-day EMA (98.20) and 200-day EMA (107.50), which indicates a medium-long term downtrend. Considering the daily time frame, the stock has been continuously trading below its 200-day SMA since May 11, 2018. The poor volumes and oscillators lying below 50 depict further downside momentum in the stock. Due to this, we suggest you to avoid buying GPPL for now.