Saturday, August 22, 2020

Inverted H&S On Weekly Chart In SBI Bank!

Friends if we see and compare large-cap stocks then many have recovered after big fall except banking stocks. The simple way for cross verifying is Nifty and Banknifty, nifty is trading above its 200 MA and Banknifty still trading below or too far.

SBI Bank is one of the best domestic bank and having good fundamentals. Let's see a chart analysis of it.

Technical Overview of the monthly chart: In the month of March while COVID starting SBI has broken its important monthly support of 230. Next month It has to spend the whole time between 198 to 175 and then again a fresh fall from month May. Finally from June market has stopped to react on COVID news & crisis and at the same time, SBI bank has taken support from month support i.e. 150. Now next resistance is around 230 and stock is showing gradual positive strength.

 

Weekly chart: As on weekly chart Inverted H&S has formed, it is the strong signal of a trend change. We are waiting for a breakout confirmation with good volume. As per H&S, our target will be 250. In last to last week stock price has crossed the resistance but not closed above. Let's wait patiently or you can add some quantities before the breakout.

Daily chart: On smaller time frame stock is trading in a Bullish Ascending Triangle and on 12th August stock has given breakout to a triangle with double volume. In last week the price has retested its trend line support plus 20 MA. Stock is continuously taking support from 20 MA and ready to touch 200 MA.

As per our studies stock is ready to fly and we are expecting 230/250 levels.



----------------------------------------------------------------------------------------------- Disclaimer: The contents produced here are purely for educational purposes. They should not be construed as buy/sell recommendations. I am not a SEBI registered Analyst or Investment Advisor. Readers are advised to consult their Investment advisor before taking any decisions based on the above write-up.
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Tuesday, July 7, 2020

Expecting 15-20% Gain In Ruchira Paper Ltd.


My purpose is only to share knowledge through articles, and many peoples have taken as advice. I am also a common person, doing chart analysis and sharing with you. Chart analysis means it is only price moment predictions; it may be correct or wrong. However, as per previous articles, our prediction ratio is good. To learn & earn, add your own analysis too.

Ruchira Papers Limited is engaged in the manufacturing of Kraft Paper and Writing & Printing Paper.

Technical Overview of RUCHIRA: If we see a history of the stock price from January 2020 then it has shown rapid fall i.e. CORONA spreading period. Around the end of March, the stock has taken rest near the monthly support i.e. levels of 30. From this bottom stock price has gained till 50 rupees i.e. 65% just in 12 trading sessions. After this rally of 65%, the stock has made bottom around 34 rupees i.e. Higher Low and next top is around levels of 65 i.e. Higher High. Near levels of 65 stock has given confirmation of Bearish Engulf near resistance plus 200 DMA and fallen from the same. Today it has made Bullish Engulf near support and volume is too good. So now we can say that stock has started the trend of Higher-High and Higher-Low.

We are bullish on this stock from the current levels and expecting 15 to 20 percent rally.


Fundamentals:

The company has reduced debt.
Stock is trading at 0.45 times its book value.
Stock is providing a good dividend yield of 4.61%.
The company has good consistent profit growth of 21.57% over five years.



----------------------------------------------------------------------------------------------- Disclaimer: The contents produced here are purely for educational purposes. They should not be construed as buy/sell recommendations. I am not a SEBI registered Analyst or Investment Advisor. Readers are advised to consult their Investment advisor before taking any decisions based on the above write-up.
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