Technical Portfolio Guide
CHAMBAL FERTILISERS & CHEMICALS
CMP : Rs 142.90
BSE Code : 500085
I am holding the stocks of Chambal Fertilisers at an average price of Rs 110 for short-term. Should I continue to hold this scrip?
- Soumen Moulik
HOLD CHAMBLFERT WITH A STOP-LOSS OF RS 124 ON CLOSING BASIS
Chambal Fertilisers & Chemicals Ltd is currently trading at Rs 142.90. Its 52-week high/low stands at Rs 196.25/Rs 95.25 made on June 10, 2019 and March 23, 2020 respectively. The stock has given a rising channel breakdown as on February 28, 2020 and thereafter, witnessed a correction, which is halted at Rs 93.80 and post this development, the stock witnessed a pullback rally of almost 49 per cent. Considering the daily time frame, the stock has recently given a breakout of Pennant pattern, along with a strong volume, which indicates a further upside momentum. Currently, the stock is trading above its weekly pivot and short-term moving averages, i.e. 20-day EMA and 50-day EMA. The daily RSI is comfortable trading above 60 mark and it is in a rising trajectory. The stochastic oscillator is also suggesting some bullish strength as per cent K is above per cent D. Considering all the above factors, we recommend you to hold Chambal Fertilisers & Chemicals with a stop-loss of Rs 124 on closing basis.
DYNAMATIC TECHNOLOGIES LTD
CMP : Rs 496
BSE Code : 505242
Can I buy Dynamatic Technologies at the current levels?
- Jigna Gandhi
AVOID BUYING DYNAMATIC TECHNOLOGIES FOR NOW
Dynamatic Technologies Ltd is currently trading at Rs 496. Its 52-week high/low stands at Rs 1,555/Rs 424.05 made on May 28, 2019 and March 24, 2020 respectively. The stock has formed a reversal shooting star like candlestick pattern as on weekend of October 30, 2016 and thereafter, marked the sequence of lower tops and lower bottoms. Currently, the stock is trading below its 20-week EMA (714.10), 50-week EMA (967.65), 100-week EMA (1,247.30) and 200- week EMA (1,537.35), which indicates a medium and long-term downtrend. The leading indicator, 14-period weekly RSI is in super bearish zone and it is not able to cross 60 mark since January 2017. The daily and weekly MACD stays bearish as it is trading below its zero line and signal line. Moreover, on the directional index, the bearish strength is higher than the bullish strength as +DI is much below -DI. Considering all the above factors, we recommend you to avoid buying Dynamatic Technologies for now.
MONTE CARLO FASHIONS LTD
CMP : Rs 138.85
BSE Code: 538836
I am holding MONTECARLO bought at Rs 165 in April. I was expecting it to bounce back but instead, it fell more. What should I do?
- Vikas Kapoor
EXIT MONTE CARLO FASHIONS AT THE CURRENT MARKET PRICE
Monte Carlo Fashions Ltd is currently trading at Rs 138.35. Its 52-week high/low stands at Rs 334.50/Rs 129.20 made on June 10, 2019 and March 30, 2020 respectively. The stock has given an upward sloping trendline support breakdown as on weekend of March 23, 2018 and thereafter, marked the sequence of lower tops and lower bottoms. Majorly, the stock is displaying a bearish trend as it is trading below its weekly pivot and short and long-term moving averages, that is, 20-week EMA, 50-week EMA, 100-week EMA, and 200-Week EMA. Two months ago, the 200-DMA crossed over 50-DMA and was termed as the 'death crossover', which is a long-term bearish signal. The weekly RSI is in a super bearish zone and the fast stochastic line is also trading below the slow stochastic line. The weekly and daily MACD stays bearish as it is trading below is zero line and signal line. Considering all the above factors, we recommend you to exit Monte Carlo Fashions at the current market price.
RELIANCE INDUSTRIES LTD
CMP : Rs 1,435.45
BSE Code : 500325
I have bought the share of Reliance Industries for short-term at Rs 1,200. Should I hold or book profit?
- Abdul Kalam
BOOK PROFIT IN RELIANCE INDUSTRIES AT THE CURRENT MARKET PRICE
Reliance Industries Ltd is currently trading at Rs 1,435.45. Its 52-week high/low stands at Rs 1,603.24/Rs 867.82 made on December 20, 2019 and March 23, 2020 respectively. The stock has formed a reversal hammer like candlestick pattern as on weekend of March 20, 2020 and thereafter, bounced sharply up to the level of Rs 1,615. Considering the daily time, the stock has formed a reversal evening doji star candlestick pattern as on May 12, 2020. Along with this bearish formation, the stock has also managed to close below its weekly pivot and short-term moving average, i.e. eight-day EMA. Among the momentum indicators, the 14-period daily RSI cooled off after touching the zone of 75 and at present, its reading is 55.71. The RSI is trading below its nine-day average and is in a declining mode, which indicates a further downside momentum. The stochastic oscillator has also given a bearish crossover. Moreover, there has been a negative divergence between the daily stochastic and the stock price movement, which suggests a limited upside. Considering all the above factors, we recommend you to book profit in Reliance Industries at the current market price.