Three buy candidates for medium to long term

Triveni Engineering & Industries Limited is inside a rising trend channel in all time frames; short, medium and long term. After a long period of consolidation, the stock has broken through a resistance of 56 rupees and 52 rupees on the longer term chart.

The rise in stock price has been supported by rising momentum and optimistic buyers, as indicated by the green arrows of the volume balance indicator. The short term momentum of the stock is strongly positive, with RSI above 70. This indicates increasing optimism among investors and further price increase for Triveni Engineering & Industries Limited.

There is no clear resistance in the medium term chart, so the stock may rise to its earlier top of 107 rupees in coming months or quarters. On the downside there is support between 46 and 42 rupees.

The stock is very volatile and price variation can be high on a day to day basis.

Recommendation one to six months: Positive

NMDC Limited has broken through the ceiling of a falling trend channel in the medium term. This may be the start of a more horizontal development. Higher tops and higher bottoms will indicate of a new rising trend.

The price has risen strongly since the positive signal from an inverse head and shoulders formation at the break through resistance at 96.44. The objective at 104 is now met, but the formation signals further rise in the same direction. The stock has support at rupee 95.00 and resistance at rupee 116. Volume tops and volume bottoms correspond well with tops and bottoms in the price. This strengthens the stock. RSI is above 70 after a good price increase in the past weeks. The stock has strong positive momentum and further increase is indicated.

In the longer term the stock has established a bottom at 90 rupees which can be seen as a longer term support. Resistance is at 116 and 124 respectively. The stock is weak positive because no uptrend channel is established yet.

Recommendation one to six months: Weak Positive

NCC Limited (NCC.NS) Close: 98.15

NCC Limited has broken up from the falling trend channel and rectangle and inverted head and shoulders formations. Further rise to 134 rupees or more is suggested. There is resistance around 104 and 135 rupees and support between 93 and 90 rupees in the short term.

The analyses are based on closing price as per March 5, 2019. Maintaining proper stop loss is always recommended.