Technical Portfolio Guide
THERMAX
CMP: Rs.1198 BSE Code: 500411
Can I enter Thermax at the current levels?
- Sivakumar Appavu
AVOID THERMAX FOR NOW AND ENTER ABOVE RS 1235
Thermax is currently trading at Rs 1198. Its 52-week high/low stand at Rs 1360/Rs 830.05 made on January 9, 2018 and February 6, 2017, respectively, which depicts an uptrend. Considering the daily time frame, the stock is consistently rising since September 26. The stock surged 63% up to January 9, when the stock nearly hit a double top at Rs 1360 level. Thereafter, the stock has been falling and has hit near 38.2% retracement level of the upward rally. The stock attempted a bounce back with volume spurt on February 7, but could not sustain. The 14-period RSI quoting at 41 too suggests lack of momentum for now. Hence, we suggest you to avoid and enter only on the stock hitting Rs 1233-1235 levels.
HCL TECH
CMP: Rs.945 BSE Code: 532281
I am holding shares of HCL Tech bought at a breakout @ Rs 950. The stock went up, but I could not sell. What should I do now?
- Hemchandar Ramesh
HOLD HCL TECHNOLOGIES WITH A STOP LOSS OF RS 904
HCL Tech is currently trading at Rs 945. Its 52-week high/low stand at Rs 1041.50/Rs 796.50 made on January 24, 2018 and April 27, 2017, respectively. Considering the daily time frame, the stock has been trading in a slightly upward tilted channel pattern, which gave multiple times breakdown during October-December 2017. The stock made an upward rally of around 23% and breached its upper trendline at Rs 954, but witnessed a retreat after three consecutive positive closures. Now, the stock price has hit below the upper trendline. Considering the weekly time frame, the stock is lying around 50% retracement of the upward rally. Hence, we suggest you to hold for now and exit below Rs 904. an exit only below Rs 206.
M&M
CMP: Rs.754 BSE Code: 500520
I have bought M&M at Rs 722. What do I do. Hold or book minor profits?
- Janhavi Sathe
HOLD MAHINDRA AND MAHINDRA WITH A STOP LOSS OF RS 735
M&M is currently trading at Rs 7545. Its 52-week high/low stand at Rs 802.80/612.50 made on February 1, 2018, which is also it's all-time high level, and September 27, 2017 respectively. Considering the daily time frame, the stock gave a multiple point downward sloping trendline breakout on December 14 at Rs 713 level, followed by three consecutive upticks. The stock trailed in the range, making a kind of small symmetric triangle. The stock gave a triangle breakout on February 1 at Rs 772, but it has been highly volatile since then. The stock is currently in the pullback zone, where it has tested the lower trendline level too. On February 7, the stock retested the upper candle, but could not sustain and closed lower. Hence, we suggest you to hold and exit below Rs 735.
VOLTAS
CMP: Rs.600 BSE Code: 500575
I have entered Voltas at Rs 615, but the stock is correcting now. What to do?
- Sandeep Singh
EXIT VOLTAS BELOW RS 585
Voltas is currently trading at Rs 600. Its 52-week high/low stand at Rs 675/Rs 329.70 made on December 28, 2017 and February 7, 2017 respectively. Considering the daily time frame, the stock has given a head and shoulders breakdown at Rs 597 level on February 2. The breakdown was supported by justifiable volumes. The stock witnessed a pullback thereafter, where it retested the trendline level on February 7, but could not sustain on a closing basis. On a weekly basis, the stock has taken a breather after 5/6 consecutive weekly falls. The stock may correct sharply if it falls below Rs 585 level, hence we suggest you to hold for now and exit below Rs 585 level.
CUMMINS INDIA
CMP: Rs.840 BSE Code: 500480
Can I buy shares of Cummins India at current levels?
- Shailendra Kumar Singh
BUY CUMMINS INDIA IF NEXT WEEK CONFIRMS HAMMER ON WEEKLY CHART
Cummins India is currently trading at Rs 840. Its 52-week high/low stand at Rs 1096.20/ Rs 767.05 made on May 3, 2017 and February 6, 2018 respectively. Considering the weekly time frame, the stock has been trading with lower tops forming a multiple point downward sloping trendline . On the downside, the stock has taken a multiple support in the range of Rs 750-770. In the week of February 7, the stock has bounced back after hitting the support at Rs 761 level. However, the lower volumes and lack of cue from oscillators do not support reversal. On the daily time frame too, the stock has formed a swing low which is not significant. Hence, we suggest you to enter only if the next week confirms hammer pattern on the weekly chart.
BPCL
CMP: Rs.478 BSE Code: 500547
Can I enter BPCL at the current levels?
- Mohd Anish
AVOID BPCL FOR NOW, CAN ENTER ABOVE RS 495
BPCL is currently trading at Rs 478. Its 52-week high/low stand at Rs 550/Rs 400.37 made on October 30, 2017 and June 27, 2017, respectively. The stock has been trading in a zig-zag pattern and has formed a rectangular pattern on the daily time frame. The stock has been moving in the range of Rs 465-550. Since last 14 trading sessions, the stock is seen more or less trailing at the lower horizontal line of the triangle at Rs 465 level. The volumes are very low and the 14-period RSI is quoting at 44, which suggest lack of momentum for now. Hence, we suggest you to avoid for now and enter at Rs 495 level. One can prefer to buy HPCL instead.