Technical Portfolio Guide
RALLIS INDIA LTD
CMP: Rs259.55
BSE Code:500355
I have bought Rallis at Rs 177 for the near term. Should I wait or exit with profits?
- Jitesh Khanna
HOLD RALLIS WITH A STOP-LOSS OF RS 235 ON CLOSING BASIS
Rallis India Ltd is currently trading at Rs 259.55. Its 52-week high/low stands at Rs 272.30/Rs 127.10 made on June 17, 2020 and March 24, 2020 respectively. The stock has formed a reversal long-legged doji candlestick pattern as on March 24, 2020 and thereafter, bounced sharply up to its 52-week high level. Recently, the stock has given a horizontal trendline breakout along with strong volume, which suggests further upside momentum. The stock is meeting Daryl Guppy’s multiple moving averages set up rules as it is trading above both the short and long-term moving averages. The leading indicator, 14-period weekly RSI, is in a rising trajectory and it is in a bullish zone. The weekly MACD stays bullish as it is trading above its zero line and signal line. Considering all the above factors, we recommend you to hold Rallis India with a stop-loss of Rs 235 on closing basis.
RELAXO FOOTWEARS LTD
CMP:Rs637
BSE Code:530517
I am holding Relaxo bought at Rs 590. What to do now?
- Ravi pant
BOOK PROFIT IN RELAXO FOOTWEARS AT THE CURRNT MARKET PRICE
Relaxo Footwears Ltd is currently trading at Rs 637. Its 52-week high/low stands at Rs 830.15Rs 388.53 made on February 17, 2020 and June 20, 2019, respectively. The stocks has formed a reversal spinning bottom candlestick pattern as on March 24, 2020 and thereafter, witnessed a pullback rally up to the level of Rs 785. Recently, the stock has formed a reversal ‘three black crows’ candlestick pattern. Along with this bearish formation, the stock has also managed to close below its long and short-term moving averages, i.e. 20-day EMA, 50-day EMA and 100-day EMA. Among the momentum indicators, the 14-period daily RSI has cooled off after touching the zone of 80 and at present, its reading is 43.53. The RSI is trading below its nine-day average and it is in a falling mode, which indicates further downside momentum. Further, the momentum indicator-MACD line has crossed under the signal line, which resulted in the histogram turning negative. Considering all the above factors, we recommend you to book profit in Relaxo Footwears at the current market price.
EDELWEISS FINANCIAL SERVICES LTD
CMP: Rs43.40
BSE Code:532922
Can I enter Edelweiss Financial Services at the current levels for a long-term (two years)?
- Pritpal Sekhon
AVOID BUYING EDELWEISS FOR NOW
Edelweiss Financial Services Ltd is currently trading at Rs 43.40. Its 52-week high/low stands at Rs 182.50/Rs 29.90 made on June 26, 2019 and March 26, 2020, respectively. The stock has formed a reversal gravestone doji candlestick pattern as on the weekend of June 01, 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. The leading indicator, 14-period weekly RSI, is in a super bearish zone and it is not able to cross 60 mark since June 2018. On the directional index, the bearish strength is higher than the bullish strength as +DI is much below the -DI. The per cent K is below the per cent D on the weekly timeframe, which is indicating further weakness. Considering all the above factors, we recommend you to avoid buying Edelweiss Financial Services for now.
STEEL AUTHORITY OF INDIA LTD
CMP : Rs29.65
BSE Code :500113
I have bought the shares of SAIL at Rs 21 for a short-term. Should I hold or book profits?
- Rajendra Prasad Panda
BOOK PROFIT IN SAIL AT THE CURRENT MARKET PRICE
Steel Authority of India Ltd (SAIL) is currently trading at Rs 29.65. Its 52-week high/low stands at Rs 52.80/Rs 20.15 made on June 27, 2019 and March 30, 2020, respectively. After registering the low of Rs 20.15, the stock has witnessed a pullback rally. The pullback rally is halted near 50 per cent Fibonacci retracement level of its prior downward move (Rs 51.90-Rs 20.15) and it coincides with 200-day SMA level. The stock has recently formed a reversal bearish engulfing candlestick pattern on the weekly timeframe. Along with this bearish formation, the stock has also managed to close below its long and short-term moving averages, i.e. 20-day EMA, 50-day EMA and 100-day EMA. The Daily RSI is currently quoting at 49.40 and it is trading below its nine-day average. The daily MACD stays bearish as it is trading below its zero line. Considering all the above factors, we recommend you to book profit in Steel Authority of India Limited at the current market price.