Technical Portfolio Guide
BATA INDIA LTD
CMP: Rs. 1350.95
BSE Code:500043
I have bought Bata India at Rs 1100. What should I do: hold or exit?
- Saurabh
BOOK PROFIT IN BATA INDIA AT THE CURRENT MARKET PRICE
Bata India Ltd. is currently trading at Rs.1350.95. Its 52-week high/low stand at Rs 1478.40/Rs 735.50 made on May 3, 2019 and May 22, 2018, respectively. The stock had formed a reversal Doji candle near multi-touch point horizontal trendline support as on weekend of October 26, 2018, and thereafter, it marked a sequence of higher tops and higher bottoms. Currently, the stock is trading below its weekly pivot and short term moving averages, i.e. 20-day EMA and 50-day EMA. Considering the weekly scale, the stock had formed a reversal shooting star candle and gave confirmation during the current week. The 14-period weekly RSI and weekly stochastic has recently given negative crossover, which depicts further negative momentum. The MACD histogram is also suggesting negative momentum as it is trading below the zero line. Moreover, there has been a negative divergence between the 14-period weekly RSI, weekly stochastic and the stock price movement, which suggest limited upside. Hence, considering all the above factors, we suggest you to book profit at the current market price
MAHANAGAR TELEPHONE NIGAM LTD.
CMP: Rs. 10.61 BSE Code: 500108
MTNL is falling consistently. Is it the right time to enter?
- Jay Chwla
AVOID BUYING MTNL FOR NOW
Mahanagar Telephone Nigam Ltd. is currently trading at Rs.10.61. Its 52-week high/low stand at Rs 19.40/Rs 10.52 made on January 1, 2019 and May 9, 2019, respectively. After registering all-time high, the stock is consistently trading with lower tops and lower bottoms. Considering the daily time frame, the stock gave a downward sloping trendline breakout at Rs 15.50 level on December 31, 2018 , but it turned into a whipsaw and again witnessed lower tops and lower bottoms. Currently, the stock is trading much below its weekly pivot and short-long term moving averages, i.e. 20-week EMA, 50-week EMA, 100-week EMA and 200-week EMA, which suggests the stock is clearly in a downtrend. The poor volumes and oscillators still tilted southward point to some more downside for now. Additionally, the stock is trading below its weekly Ichimoku cloud and Bollinger band average. Considering all the above factors, we suggest you to avoid buying MTNL for now.
ICICI PRUDENTIAL LIFE INSURANCE CO.
CMP: Rs. 359.15
BSE Code: 540133
I have bought ICICI Prudential Life Insurance for the short term at a breakout of Rs 330, Shall I hold or book profits?
- Chetan Motiwala
BOOK PROFIT IN ICICI PRU AT CURRENT MARKET PRICE.
ICICI Prudential Life Insurance Company Ltd. is currently trading at Rs 359.15. Its 52-week high/low stand at Rs 462/ Rs 277.95 made on May 11, 2018 and February 4, 2019, respectively. The stock had formed a reversal bullish engulfing candle as on weekend of February 8, 2019 and, thereafter, it marked a sequence of gradual higher tops and higher bottoms. At present, the stock is trading below its weekly pivot and short term moving average, i.e. 13-day EMA and 20-day EMA. The 14-period RSI is currently quoting at 48.87 and it is trading below its 9-day average. The fast stochastic is also trading below its slow stochastic line and MACD stays bearish as it is trading below its zero line, which suggest negative momentum. Additionally, the stock is trading below the lower Bollinger band, which depicts further downward momentum. Considering all above factors, we suggest you to book profit at the current market price.
APOLLO TYRES
CMP: Rs. 184.90 BSE Code: 500877
I am holding shares of Apollo Tyres at Rs 210. But the stock has started falling again. So what do I do now?
-Tukaram Bahirat
EXIT IN APOLLO TYRES AT THE CURRENT MARKET PRICE.
Apollo Tyres Ltd. is currently trading at Rs.184.90. Its 52-week high/low stand at Rs 299.80/Rs 182.20 made on August 1, 2018 and May 9, 2019, respectively. The stock had formed a reversal shooting star pattern as on weekend of August 3, 2018 and, thereafter, it is trading with lower tops and lower bottoms. The major trend of the stock is negative as the stock is trading below its weekly pivot and long and short term moving averages, i.e. 20-week EMA, 50-week EMA, 100-week EMA and 200-week EMA. Recently, the stock had given a breakdown of 31-week descending triangle pattern, which suggests further downward momentum. The leading indicator RSI on the weekly chart is currently quoting at 33.94, which depicts negative momentum. Moreover, the trend strength indicator ADX is at a healthy level of 29.22. The directional parameter -DI us much above the +DI. Considering all the above factors, we recommend you to exit at the current market price.