Technical Portfolio Guide
COROMANDEL INTERNATIONAL LTD.
CMP: Rs919.30
BSE Code:506395
Is Coromandel a good stock for swing trading at this point?
- Pradeep Talwar
THE STOCK CAN TEST THE LEVEL OF RS 1,013
The stock has formed a Stage-1, 47-week cup pattern with a depth of over 25 per cent. It reg-istered a breakout at the beginning of the week. However, the breakout failed. Now, it may form a handle pattern between Rs 877 and Rs 925 zone. Currently, it is trading in the same zone. It currently lies at the 20-DMA and trades with volatility. However, the RSI has also closed below the range. The MACD has given a fresh sell signal. Comparatively, the stock has fair relative price strength and outperforms the broader market. It is trading above the 50-DMA as well as 200-DMA. The Elder impulse system has formed a big bearish bar recently. Currently, the stock is in a minor downtrend and can test the level of Rs 817. With a bounce from this level, we may get the opportunity to long for a target of Rs 1,013.
BALRAMPUR CHINI MILLS LTD.
CMP: Rs375.80
BSE Code:500038
I am holding the shares of Balrampur Chini at Rs 415. What should I do?
- Anuj Chhabra
EXIT ON RISING AT RS 392 LEVEL
The stock had broken all the key supports. It has formed base support at the zone of Rs 377-Rs 386, which is decisively broken. By trading below the prior swing low of Rs 377, it has made a lower low. Currently, it’s 17 per cent below the 50-DMA. On the weekly chart, the RSI has jumped from the 30-mark. The histogram shows a strong bearish momentum. However, if it bounces towards its 200-DMA level of Rs 392, exit the position and book a loss.
PERSISTENT SYSTEMS LTD.
CMP: Rs3,445.60
BSE Code:533179
I bought the shares of Persistent Systems for Rs 4,500 but it has fallen significantly. Since I’m holding for a long term, what is the appropriate action that I should take?
- Subhash Kulkarni
CONSIDER EXITING AT CMP
The stock has broken down the double top pattern and declined over 30 per cent from its recent top. The stock is in a bear grip. It is trading 18 per cent below the 50-DMA and about 10 per cent below the 20-DMA. All short and long-term moving averages are in a downtrend. A series of bearish bars has been formed in the Elder impulse system on the weekly chart. The stock has very poor relative strength, and it is also declining. It is very difficult to reach your buying price. The next level of support is Rs 3,200. The pattern target is Rs 2,675. It is better to book a loss.
TVS MOTOR COMPANY LTD.
CMP: Rs708.30
BSE Code:532343
I have entered TVS Motor at Rs 640. Is it the right time to book profit?
- Sachin Duggad
HOLD THE STOCK WITH A TRAILING STOP-LOSS
The stock had broken out of an inverted king of a pattern and had retested the neckline support. It is above the short and long-term averages. It is also trading above the moving average ribbon and all the moving averages are in an uptrend. The RSI has formed a hidden divergence. However, the histogram shows a decline in bullish momentum. The +DMI is above the -DMI while the ADX is flat and shows weaker strength in the trend. As the market conditions are not favourable, it may retest the level of Rs 650. It is better to continue the position with a trailing stop-loss.