Your Technical Portfolio Guide

VINATI ORGANICS LTD 

CMP: Rs1970.10
BSE Code: 524200 

I am holding 200 shares of vinati organics bought at Rs. 2,050/share for the short term. However, no momentum can be seen at present. What should I do?
- Deepak Garg 

EXIT VINATI ORGANICS AT CURRENT MARKET PRICE 

Currently, Vinati Organics Ltd. is trading at Rs. 1,970.10. Its 52-week high/low stand at Rs. 2,511/ Rs. 1,377.30, made on September 23, 2019, and November 28, 2018, respectively. The stock formed a Reversal Spinning Top candlestick pattern on the weekend of September 20, 2019, and, thereafter, entered into a correction. Considering the weekly scale, the stock recently gave a breakdown of upward sloping trendline support, which indicates further downside momentum. With this trendline breakdown, the stock has also managed to close below its short term moving averages, that is, 13-day EMA and 20-day EMA. Among the momentum indicators, the 14-period weekly RSI is currently quoting at 47.49 and trading below its 9-week average. The negative diversion is visible in weekly RSI, which indicates a limited upside. Moreover, on the directional index, the bearish strength is higher than the bullish strength as +DI is much below the -DI. Considering all the above factors, we recommend you exit Vinati Organics at the current market price. 

SYNDICATE BANK 

CMP: Rs29.55
BSE Code: 532276 

Please let me know the medium-term prospects of Syndicate Bank. I have 3,500 shares.
- Subramanyam 

EXIT SYNDICATE BANK BELOW RS. 23.30 

Syndicate Bank is currently trading at Rs. 29.55. Its 52-week high/low stand at Rs. 46.60/Rs 23 made on April 02, 2019 and October 15, 2019, respectively. The stock gave a neckline breakdown of Adam and Adam Double Top pattern on the weekend of July 11, 2014, marking the sequence of lower tops and lower bottoms. Recently, the stock had given a breakdown of Expanding Triangle pattern and fell further down to its 52-week low level. However, after registering 52-week low, the stock has given a pullback up to 38.2 per cent Fibonacci retracement level of its recent downward move (Rs. 46.60-Rs. 23.30). Currently, the stock is trading below its 20-week EMA (30), 50-week EMA (34.25), 100-week EMA (41.95), and 200-week EMA (55.30), which indicates a medium-long term downtrend. The poor volumes and 14-period weekly RSI quoting at 47 levels depict a lack of momentum for now. The weekly RSI is not able to cross 60 mark since December 2017. The weekly MACD stays bearish as it is trading below its zero lines and the signal line. The level of Rs 32.20 will be the major hurdle for the stock while on the downside. If in case stock sustains below the 23.30 level, it may extend its downward move. Hence, we recommend you to exit the Syndicate bank below Rs 23.30.

BANK OF BARODA 

CMP: Rs106.45
BSE Code: 532134 

Can I buy Bank of Baroda at the current levels for the short term?
-Tejaswini Pawar 

BUY BANK OF BARODA AT CURRENT MARKET PRICE 

Bank of Baroda is currently trading at Rs. 106.45. Its 52-week high/low stand at Rs. 143.60/Rs. 85.70, made on May 23, 2019, and October 01, 2019, respectively. The stock had formed a Reversal Bearish Engulfing candlestick pattern on the weekend of January 30, 2015, and marked the sequence of lower tops and lower bottoms. Considering the daily timeframe, the stock had formed an Inverted Head and Shoulders pattern, which indicates a possible exhaustion point in the market, where a possible reversal may occur. The short term trend of the stock is bullish and it is trading above its weekly pivot and over its short term moving averages, that is, 13-day EMA, 20-day EMA, and 50-day EMA. The leading indicator, 14-period daily RSI, is currently quoting at 69.28 and it is trading above its 9-day average. The daily MACD has just crossed above the signal line, resulting in the histogram turning positive. On Thursday, the stock has managed to close above the neckline of inverted Head and Shoulders pattern with strong volumes. Hence, we recommend you to buy Bank of Baroda at current market price.

RITES LTD

 CMP: 279.90
BSE Code: 541556 

I have bought Rites at Rs. 260 for the short term. Should I hold it or book a profit?
- S. Khandelwal 

BOOK PROFIT IN RITES AT CURRENT MARKET PRICE 

Rites Ltd. is currently trading at Rs. 279.90. Its 52-week high/low stand at Rs. 324.80/ Rs. 160.48, made on November 19, 2019, and February 19, 2019, respectively. The Stock had given a breakout of Ascending Triangle pattern on the weekend of September 27, 2019, and thereafter, bounced sharply up to its all-time high. Recently, the stock formed a Shooting Star Candlestick pattern on a weekly scale, which is viewed as a bearish Reversal Candlestick pattern. With this bearish formation, the stock has also given a breakdown of upward sloping trendline support. The short term trend of the stock is bearish and it is trading below its weekly pivot and below its short term moving averages, that is, 13-day EMA and 20-day EMA. Among the momentum indicators, the 14-period daily RSI cooled off after touching the 75 zones and it is quoting at 45.81 at present. The RSI is trading below its 9-day average and is in a falling mode, which indicates further downside momentum. Interestingly, the RSI has formed a double top pattern and recently managed to close below the neckline of a double top pattern. Moreover, there has been a negative divergence between the daily RSI and the stock price movement, which suggests limited upside. Considering all the above factors, we recommend you book a profit in Rites at the current market price.