Published January 2, 2019
2019 is here now and we wish all our readers a very Happy and Prosperous New Year with good investment decisions and hence greater than expected positive returns.
We have analyzed today a stock that has given a breakout through a falling trend channel and has broken through the resistance which may turn out to be a good investment opportunity in the new year.
The State Trading Corporation of India Limited has broken through the ceiling of a falling trend channel in the medium term. The stock has broken up through the resistance at rupees 136. This predicts a further rise. The next target or resistance is around 178 which is 21 per cent higher than last close. There is support around 136 rupees in the medium term which is 7 per cent lower than previous close. This gives a good risk and reward ratio.
Volume tops and volume bottoms correspond well with tops and bottoms in the price. Volume balance is also positive, which strengthens the stock.
RSI above 70 shows that the stock has strong positive momentum in the short term. Investors have steadily paid more to buy the stock, which indicates increasing optimism and that the price will continue to rise. The RSI curve shows a rising trend, which could be an early signal for the start of a rising trend for the price as well.
The stock is overall assessed as technically positive for the medium term.
Investtech's outlook (one to six months): Positive
The analyses are based on closing price as per December 31, 2018. Maintaining proper stop loss is always recommended.
Investtech guarantees neither the entirety nor accuracy of the analyses. Any consequent exposure related to the advice / signals which emerge in the analyses is completely and entirely at the investors own expense and risk. Investtech is not responsible for any loss, either directly or indirectly, which arises as a result of the use of Investtechs analyses. Details of any arising conflicts of interest will always appear in the investment recommendations. Further information about Investtechs analyses can be found here disclaimer.
The content provided by Investtech.com is NOT SEC or FSA regulated and is therefore not intended for US or UK consumers.
Investtech guarantees neither the entirety nor accuracy of the analyses. Any consequent exposure related to the advice / signals which emerge in the analyses is completely and entirely at the investors own expense and risk. Investtech is not responsible for any loss, either directly or indirectly, which arises as a result of the use of Investtechs analyses. Details of any arising conflicts of interest will always appear in the investment recommendations. Further information about Investtechs analyses can be found here disclaimer.
The content provided by Investtech.com is NOT SEC or FSA regulated and is therefore not intended for US or UK consumers.