Tuesday, November 1, 2011

ABAN is showing some strength.

After a decline of almost 390 points, the chart of ABAN shows us some strength in the stock. First the stock saw a decline of almost 390 points. Then we say a consolidation between 373 – 417 for a period of almost 4 months and now it breaking up from its resistance. All this suggests a decent rally in ABAN is possible(see the chart below).

6 comments:

Rushabh Shastri said...

Fully agree, it may move the same as RELIANCE from 780 to 900

rocky said...

hw you trade today i appericate if you discuss your eod strategy in newsletter too

regards...

santosh said...

Hello sukhani sir..Good afternoon..

Wishing you belated diwali wishes ...

I am santosh from bangalore, 21, regular viewer of you but missing you these days on TV..you are truly model expert for others when it comes to ground to earth kind of interactions and kind advisories..I am following your blogs since two years and learnt many things from your blogs and ideas you have shared..

I trade heavily in options and rarely in cash..I am engineering student now and i am interested in TA, so learning it all the time along with my engineering studies..
I have created your facebook fan page and more than 250 members have been in that group..now i have some serious dilemma and confusions in trading, i mean selection and implementing the trade that i choose, maybe holding it and booking it at the right price..my questions are as follows..

1.which are the tools and important indicators (must indicators) you use for trading nifty and any other stock...

2.while selecting options in nifty or particular stock how does OI play important role in selecting the right strike price option...also what are the things that one should look into particular strike before buying that strike option of stock..

3.how to select or shortlist stocks for day trading and also for short term trading, say for week..

4.please do share your and best adapted methods for trading nifty in intraday, i mean strategies..

All these questions are interlinked to many questions that are running in my mind now, hope your answers will satisfy all the confusion by unlocking these 4 dilemmas..missing your presence on TV..be back soon..keep blogging..we just love it..

amarjeet said...

i m very 2------------- happy sir u come on tv.

daren248 said...

Nice to see you on tv after a long time with your humble advisories. Always read your blog to keep myself updated. thanks. Great work. God bless.

Parsh said...

Date: 05/11/2011

Technical Analysis Report on Madras Cement

CMP: 109.80


Stock had made an all time high of 253 in the year 2007. From that level stock corrected sharply and lost almost 78% and made an intermediate low of 55 in the year 2008. Thereafter from March, 2011 stock started stabilizing and showed fair amount of resilience. Since then stock never looked back and keep on rising. So far stock has delivered a return of almost 100% from its intermediate low. Now the question arises after a decent gain of almost 100%, can stock move further from this level or its time to book profit and stay away from the stock? Let us try to understand a technical perspective of the stock at current level.






Recently i have observed an appearance of Inverted head & shoulder pattern on the chart. Inverted H&S is considered a medium-long term bullish pattern and generally relied upon to take a medium-long term buy call on a sector or a specific stock. However it is very important that this pattern should get completed successfully and stock gets a break out from neckline with good volumes. In the case of Madras cement stock has got its neckline at 110 level. For last couple of days stock is hovering around this mark. So we may say that stock is almost on the verge of upward breakout. However only matter of concern is that stock is still not getting delivery based participation as a result stock is lacking strong volumes. It may possible that stock may start getting buying interest once it confirms the break out and start trading in the range of 112-115.

Considering the recent development on the chart structure of the counter, we may say & hope that stock will ultimately give a strong break out from the neckline of its right shoulder and will very likely achieve the inverted H&S pattern target of 140. On the down side stock has got its trading support at 95. However for a medium-long term investors the support is located at 85. Considering the above observation i would like to buy this stock at current level for a medium target of 140 and long term target of 185 with a stop of 85.
Regards: Parshva A. Jhaveri