Monday, 22 October 2012

Break out on Emami


As you can see on weekly chart, the stock appears to have broken out a range it formed in last one year. It broke out last week and today on Monday there has been a followup buying.

When stocks break out from such a long consolidation/range, they perform well.

Buy on dips. 

DLF @200 DMA

DLF has been in the range for past many months, a range of 175 of 250.  Now it is on 200 DMA at 207.  The question is would it take support here or again around 175.

I feel it would find support here, look at the RSI.  Whenever stocks are in range, momentum oscillators like RSI give good signals.  Keep a SL below 190 on a closing basis if your view is very short term.  Target would the range extreme, 250.

Let me know your views.

Review

Today i would like to review the posts written so far.

L&T after breaking out on weekly chart gave very few chances to enter on dips; a sign of strong stock. So if someone had bought it on dips around 1550 or below, would be in gain today.  It is still buy on dips and hold.

I was looking to go long on Hexaware but the opportunity never came.

Apollo, Bata and HDFC are almost at the same level. LIC and VIP have been down a bit. TCS has gone up, but has not performed as desired.


Thursday, 11 October 2012

Stocks at supoort

Here are some stocks which are in bull run of their own.  They are now on or near significant support levels.  Use this opportunity to grab them. Please refer the charts.
Bata India, HDFC, Hexaware, LIC Housing, TCS, and VIP.