Technical Portfolio Guide

KRBL LTD 

CMP: Rs.238.25 
BSE Code:530813

Can I buy KRBL as it has fallen tremendously? - Arun Mendiratta 

AVOID BUYING KRBL FOR NOW. 

KRBL Ltd. is currently trading at Rs. 238.25. Its 52-week high/low stand at Rs 411.50/Rs 216.95 made on August 23, 2018 and July 8, 2019 respectively. The stock had formed 'three inside down' I candlestick pattern as on weekend of November 17, 2017 and, thereafter, it has marked a sequence of lower tops and lower bottoms. Recently, the stock had given breakdown of symmetrical triangle as on weekend of June 21, 2019 and witnessed almost continuous decline with rising volumes. The major trend of the stock is bearish as it is trading below its crucial long and short term moving averages, i.e. 20-week EMA, 50-week EMA, 100-week EMA and 200-week EMA. Currently, the volumes support the falling prices and oscillators are inclined southward, which suggests more downside from the current levels. Considering all the above factors we recommend you to avoid buying KRBL Ltd for now.


ESSEL PROPACK LTD

CMP: Rs.130.25 
BSE Code:500135

I am holding shares of Essel Propack bought at Rs 110. What should I do as the stock is not moving at all? - Patel L. 

HOLD ESSEL PROPACK WITH STOP LOSS OF RS 126 ON A CLOSING BASIS.

Essel Propack Ltd. is currently trading at Rs. 130.25. Its 52-week high/low stand at Rs 138/Rs 85 made on April 26, 2019 and October 25, 2018, respectively. After registering 52-week low, the stock had marked a sequence of higher tops and higher bottoms. Considering the weekly time frame, the stock is trading in the range of Rs 132-Rs 128 since last seven weeks. Due to the narrow range, the Bollinger Bands have contracted, which indicates an early signal of a bigger move. The major trend of the stock is bullish as it is trading above its long-short term moving averages, i.e. 20-week, 50-week, 100-week and 200-week EMAs. These moving averages are exactly in an ascending order, which suggests that the trend is strong. The weekly strength indicator RSI continues to remain flat below its 9-week average, indicating absence of strength. But the momentum oscillator stochastic is scaling up, indicating upside momentum. The daily MACD also stays bullish as it is trading above its zero line and signal line. In case the stock sustains and closes above the Rs 132 level, it may extend its upward move. Considering all the above factors, we recommend you to hold Essel Propack Ltd with stop loss of Rs 126 on a closing basis. 

NCC LTD 

CMP: Rs.87.40 
BSE Code:500294

I am holding NCC bought at Rs 97 on a breakout, but could not square off on the upside. What shall I do now, hold or exit? - Kovvuri Reddy 

EXIT NCC LTD AT THE CURRENT MARKET PRICE.

NCC Ltd. is currently trading at Rs. 87.40. Its 52-week high/low stand at Rs 119.15/Rs 63.10 made on May 27, 2019 and October 26, 2018, respectively. The stock had formed reversal bearish engulfing candle as on weekend of May 31, 2019 and, thereafter, it marked a sequence of lower tops and lower bottoms. Recently, the stock had given broadening top patterns breakdown, which indicates further downward momentum. The major trend of the stock is bearish as it is trading below its crucial long and short term moving averages, i.e. 20-week EMA, 50-week EMA, 100-week EMA and 200-week EMA. Interestingly, the weekly RSI has broken out of head and shoulders, which is a bearish sign. The weekly MACD stays bearish as it is trading below its zero line. The fast stochastic is also trading below its slow stochastic. Moreover, the negative divergence is clearly visible between weekly RSI, daily stochastic and the stock price movement, which suggests limited upside. Considering all above factors, we recommend you to exit NCC Ltd at the current market price. 

SRF LTD 

CMP: Rs.2761.80 
BSE Code:503806

I am holding SRF bought at Rs 2620 for the short term. What is your take on it? - Javad

M. BOOK PROFIT IN SRF LTD AT CURRENT MARKET PRICE. 

SRF Ltd. is currently trading at Rs. 2761.80. Its 52-week high/low stand at Rs 3086/Rs 1531 made on July 3, 2019 and July 19, 2018 respectively. The stock had given breakout of cup and handle pattern as on weekend of February 8, 2019, and thereafter, it marked a sequence of higher tops and higher bottoms till its 52-week high. Considering the daily time frame, the stock had recently formed 'identical three crows' like pattern, which is bearish in nature. The stock is trading below its weekly pivot and short term moving averages, i.e. 20-day EMA and 50-day EMA. The 14-period daily RSI is in bearish zone. The daily MACD histogram is suggesting that the downside momentum is picking up. The fast stochastic is also trading below its slow stochastic. Moreover, the negative divergence is clearly visible between the daily RSI, daily stochastic and the stock price movement, which suggests limited upside. Considering all the above factors, we recommend you to book profit in SRF at the current market price.