Technical stocks to watch out for Intraday
AIA Engineering Ltd: The stock has formed a reversal Doji candlestick pattern as on June 11, 2020, and thereafter, it witnessed a minor correction. Considering the daily timeframe, the stock has given 25 days consolidation breakout on Friday. This breakout is confirmed by a relatively higher volume. The leading indicator, 14-period daily RSI, is currently quoting at 57.82 and it is trading above its nine-day average. Hence, we expect the bias to remain positive as long as the stock sustains above Friday’s low of Rs 1,625 level. On the higher side, the level of Rs 1,710, followed by Rs 1,760, would be seen as the next resistance zone for the stock.
Godrej Properties Ltd: Considering the daily timeframe, the stock has been trading in contracting consolidation since the last 20 trading sessions. Due to a narrow range, Bollinger Bands have contracted, which indicates an early signal of a bigger move. Also, on the lower timeframe, i.e. 60 minutes, the stock is on the verge of giving a breakout of downward sloping trendline. If it moves above the zone of Rs 903-Rs 905 then, we may see a bullish momentum in the stock.
Igarashi Motors India Ltd: Considering the daily timeframe, the stock has formed a reversal morning Doji star candlestick pattern, which suggests a possible trend reversal in the stock. Along with this bullish formation, the stock has also managed to close above its 200-day EMA level. Further, on the lower timeframe, i.e. 30 minutes, the stock has formed a reversal inverted head & shoulders pattern. Any sustainable move above the neckline would invite a further bullish momentum in the stock, which is currently placed in the zone of Rs 273-Rs 274 level.
JK Lakshmi Cement Ltd: The stock has formed an Eve & Adam double bottom pattern and thereafter, witnessed higher tops and higher bottoms. Considering the daily timeframe, since the last five trading sessions, the stock has formed indecisive candles. On Friday, the price action formed an NR7 with an inside bar. This formation is an interesting set-up, which indicates the range contraction or a period of rest. Toby Crabel states that after a period of rest or range contraction, a trend day will often follow. On the lower timeframe, the stock has formed a symmetrical triangle pattern. Going ahead, the important levels to watch out would be Rs 287 on the higher side and Rs 282 on the downside. A break on either side would open doors for a directional move.
Bajaj Auto Ltd: Considering the daily timeframe, the stock has given a downward sloping trendline breakout on Friday, formed by connecting swing highs since June 24. This breakout is confirmed by a relatively higher volume. The leading indicator, 14-period RSI, is in a rising trajectory on both i.e. the weekly and daily timeframe. Further, the ADX is reasonably good at 26.52 levels. The +DI is above -DI and the ADX is showing strength in the trend. Going ahead, we expect the bias to remain positive as long as the stock sustains above Friday’s low of Rs 2,925 level.