Good Morning All !!
Today's Pick : RCF Ltd.
Fertilizer Stocks are out of frenzy now a days. India Growth story, Good Monsoon, Focus on Infrastructure development and other factors are pushing Agricultural developments and are expected to boost the Fertilizers Sector. As per the chart, The Stock is expected to perform well.
Lets See ..
As per the Weekly Chart as shown above the Stock has moved out of the falling channel indicating the down trend is over now and the stock may start moving in a rising channel, but the previous rising trendline is Just above the current price and it will act as a tough resistance to cross immediately. Once the Resistance is crossed and sustained, we will find the stock moving in an open territory on higher side.
In a Daily Chart, The Price has performed well creating a Cup and Handle Chart Pattern at the bottom levels and while breakout from the falling trend. The height of the cup is approx 16 points or 16 rupees. The Price Target comes around 66 levels according to Neckline at 50 levels. The immediate resistance of 54 area will work fine and won't allow Markets to go above that level easily.
Recommendation :
BUY and Accumulate RCF Ltd. in 48-51 zone with a stoploss at 45 level and Price Target of 54 - 58 - 62 - 66.
Upside Potential is 30% approximately and Risk is About 10% of the Invested Capital. Many Investors do not like this sector, so they are advised to stay away from this counter and wait for another opportunity.
These are all Technical Views which are based on Daily Charts, indicating any price movement towards the Targets will take time and it is not expected to move in a Single day. So Do not enter with speculative bets in the trade. These recommendations are purely for Investment purpose.
Follow Strict Risk Management Before Entering the Trades and Consult your Investment Adviser for guidelines. "Do not jump in the trade" without considering the risk.
Enjoy Trading, Trade Safe, Trade Wisely !!
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Disclaimer :
The Analyst May or May not have trading positions or Investments in suggested Instrument, The Trade is Long Term and the Analyst may recommend the trade to his clients time to time for short term trading. short term reversal trades May be advised in this duration and it will be according to the charts.
The Analyst is a SEBI Certified Investment Adviser and Global Market Expert having Vast experience of Financial Markets in India and Across the Globe. Running Analysis Services and Advisory since Last 6 years for clients across the world in Stock Markets, Forex, and Commodities.
Contact Details ::
WhatsApp & Telegram +91 8275 298 208 / Email : 4x.magician@gmail.com
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