Hello Investors,
Hope you all are doing well with your Investing !!
Today Covering a Stock Simplex Infrastructure Ltd.
We will start from a Weekly Time frame chart,
The Chart is Almost Self explaining, The Stock was moving in a corrective phase from the highs of March-April 2016 and it corrected by 50% almost, falling from 500+ levels to nearly 250 levels.
The fall was intense and then the Stock reversed to touch the falling trend line; unable to get a breakout, the stock started consolidating for a good period of nearly 12 weeks in a small range, Also got a breakout while consolidating, which is a good sign for a healthy move. The stock again touched the falling trend Line after breakout and confirmed the breakout by reversing fast after the trendline retesting.
The Price is a trend line break and a range breakout.
in the second chart, We find a Flag Formation as shown in the following chart, The Flag poie is of good length. If the price gets a breakout the upside will be equivalent to the flag height, giving us a price target of 400-420+ level.
Moving forward to Daily Chart, The Chart shows a Consolidation over a big time and then breakout.
The Stock has managed to cross and sustain above 200 Day Simple Moving Average and 50 Day Simple Moving Average. Indicating good upside potential.
Our Recommendation :
Our Recommendation :
BUY
Simplex Infrastructure Ltd. in the Range of 260-280 with a Stoploss around 240
Levels and a Take Profit of 400-420 levels.
with
the trade, We will be risking 20-40 Points and a Reward of 120-140 points.
which tells us a Good Risk : Reward Ratio.
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Contact details :
WhatsApp : +91 8275 298 208 / Mail : 4x.magician@gmail.com
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Disclaimer:
The Analyst does not hold any positions or does not have any vested interest in the recommended stock. Follow Strict Risk Management and Consult your Investment Advisor for more details.
The Analyst is a SEBI Certified Investment Advisor, Global Market Expert and Fund Manager for Clients across the World. He is having experience of 8 years in Indian Equity Market and Similar experience in Global Market.
