Here are some stocks well positioned on charts and offer interesting opportunity -
1. TCS at Long term Support
TCS has been trapped in a range between 2350 and 2800 since July 2014. Here's TCS right at support of 2350 on weekly chart.
In the past 1.5 years, 2350 level has acted as solid support and resulted in bounce of 15-17%. Will Bulls use this opportunity to build long positions in TCS? The market structure supports the theory as of now.
2. Glenmark at 200 dma
Glenmark Pharma has been a strong stock in current bull run. Strong stock are generally great long term buys at 200 dma. Glenmark Pharma yesterday bounced strongly from 200 dma. Does this mean - the stock will be a good long term story even from current levels? As long as stock trades above 930 - many people will believe so
3. BF Utilities: Can Momentum pick up?
BF Utilities stock made a large candle move on October 27 2015. Generally, such moves are either one off or start of something big. It all depends on what stock does after a large candle move. The bullish things are follow through move or compressed consolidation. BF Utilities stock has done compressed consolidation. Should this be considered a sign that stock is ready to take off?
4. Jubilant Foodworks: Breakout Support on weekly chart
As you can see in the weekly chart above: Jubilant Foodworks broke out above 1350-1370 in Nov 2014. The stock pulled back and retested 1350-1370 as support before resuming strong bullish move to 1900-1950. Post that move, the stock lost bullish energy and has once again pulled back to 1350-1370. Technically, this should act as strong support level and offer long term investment opportunity to investors
5. KCP - Breaout Pullback BUY
As you can see in the daily chart above: KCP stock broke out above 81-82 on huge volumes. Post breakout, the stock rallied to 100. Now, the stock has pulled back to 81-82 to retest it as support. Technically, the stock should hold current levels and bounce strongly resulting in breakout move. Will it happen?
Please share your comments on what you think of stock observations, market and trading in general. Please do your own due diligence before trading or investment. Do not treat the above as any recommendation.
Disclaimer – The state of the market notes is Deepak’s perspective on the market. The column is purely for educational purpose. Nothing contained herein is a solicitation to trade or a recommendation of a specific trade. By reading this publication you agree to make no trade relying in whole or in part on the comments of the writers