Technical Portfolio Guide
VA TECH WABAG LTD
CMP: Rs.335.75
BSE Code: 533269
I have 120 shares of VA Tech Wabag bought at Rs 350. Should I hold or exit, what are the future prospects of this company? - Arun Kumar
HOLD WABAG WITH STOP LOSS OF RS 298 ON A CLOSING BASIS.
VA Tech Wabag Ltd. is currently trading at Rs. 335.75. Its 52-week high/low stand at Rs 413.45/ Rs 243.45 made on August 30, 2018 and December 11, 2018, respectively. After registering its 52-week low, the stock is trading in a broadening formation right-angled ascending pattern. Also, the stock has recently given downward sloping trendline resistance breakout on July 1, 2019, along with strong volumes. The stock is trading above its weekly pivot and short-long term moving averages. The leading indicator RSI is currently quoting at 62.79 and it is in the bullish zone. The momentum indicator daily MACD line has recently crossed above the signal line, which has resulted in the histogram turning positive. The stochastic oscillator is also suggesting some bullish strength as %K is above the %D. Considering all the above factors, we expect the stock to continue its positive momentum and test the level of Rs 363, which is its previous top. In case the stock sustains above Rs 363, it may extend its northward momentum till tghe upper trendline of the broadening formation right-angled ascending pattern, which is currently quoting at Rs 394. Hence, we suggest you to hold WABAG with stop loss of Rs 298 on a closing basis.
GODREJ PROPERTIES LTD
CMP: Rs.945.95
BSE Code: 533150
I had bought Godrej Properties for short term at Rs 924, but could not sell on the upside. Now what should I do? - Jayavant Kedu
BOOK PROFIT AT CURRENT MARKET PRICE.
Godrej Properties Ltd. is currently trading at Rs. 945.95. Its 52-week high/low stand at Rs 1118/Rs 462 made on July 1, 2019 and October 10, 2018, respectively. The stock had given a symmetrical triangle pattern breakout as on June 13, 2019 and thereby, it had surged making higher tops and higher bottoms till its all-time high level. Recently, the stock had formed bearish belt hold candlestick pattern as on July 2, 2019, which is bearish in nature. The stock has also managed to close below its weekly pivot and short term moving average. The leading indicator daily RSI is currently quoting at 51.08 and it is trading below its 9-day average, which suggests further negative momentum. The daily stochastic oscillator is also suggesting some weakness as %D is above the %K. Moreover, the negative divergence is clearly visible between weekly RSI and stock price movement, which suggests limited upside. Considering all the above factors, we recommend you to book profit in Godrej Properties at the current market price.
POWER GRID CORP. OF INDIA LTD.
CMP: Rs.210.15
BSE Code: 532898
I had bought shares of Power Grid at Rs 200 after a breakout. What should I do now? - Mehar Bedi
HOLD POWER GRID WITH STOP LOSS OF RS 190 ON A CLOSING BASIS.
Power Grid Corporation of India Ltd. is currently trading at Rs. 210.15. Its 52-week high/low stand at Rs 211/Rs 173.05 made on June 26, 2019 and February 14, 2019, respectively. Considering the weekly time frame, the stock had recently given breakout of downward sloping trendline as on weekend of June 28, 2019. This breakout was confirmed by the above 50-week average volumes. The major trend of the stock is bullish as it is trading above its weekly pivot and above its long-short term moving averages, i.e. 20-week, 50-week, 100-week and 200-week EMAs and these moving averages are exactly in an ascending order, which suggests that the trend is strong. The leading indicator weekly RSI is in the bullish zone and the MACD is above zero line and signal line. The stochastic oscillator is also suggesting some bullish strength as %K is above the %D. Moreover, the daily ADX is very strong at 37.55 The -DI is much below the +DI and ADX is above the -DI and +DI. This shows the technical strength in the stock. Considering all above factors, we recommend you to hold Power Grid with stop loss of Rs 190 on a closing basis.
ICICI SECURITIES LTD.
CMP: Rs.221.05
BSE Code: 541179
Shall I enter ICICI Securities at CMP for the short term? - Devesh Goel
AVOID BUYING ICICI SECURITIES FOR NOW.
ICICI Securities Ltd. is currently trading at Rs. 221.05. Its 52-week high/low stand at Rs 369.90/Rs 188 made on August 7, 2018 and February 5, 2019, respectively. The stock witnessed lower top and lower bot tom after hitting all-time high, where it had formed reversal shooting star candle. Currently, the stock is trading below its long term moving averages, i.e. 100-day EMA and 200-day EMA. The daily strength indicator 14-period RSI almost remain flat since last three weeks, indicating absence of strength. But momentum oscillator MACD is trading below the zero line for the past 12 trading sessions, indicating downward momentum. The Average Directional Index (ADX) indicator on the daily time frame is quoting around 6.96, which suggests there is no strength in any directional momentum. Considering all the above factors, we recommend you to avoid buying ICICI Securities for now.