As mentioned in the earlier post, that the earnings is about to kick off, and the markets have already posted some handsome gains, factoring into the prices. However, there are a few scrips which although have gained some momentum , are yet to break out. Usually , these scrips display a Symmetrical triangle pattern , which represents uncertainty in break out direction. This means that the markets are unsure how would the prices move.
So, here are some stocks which display similar uncertainty in the pattern,but we hope to see some bullish momentum in them based on the D-Street estimates
The following stocks have been covered in this post( as we hunt for many more :) ) -
ABB:
ABB has bagged a $120m order in China. With this, the symmetrical triangle in the figure below , is expected to show a bullish breakout. The target / stop loss & entry points have been shown in the chart below:
Lupin
Lupin has its earnings line up the following week and also it has displayed this pattern since a long duration, which indicates a strong pattern in the making.
Cipla
Cipla has already broken out from its symettrical triangular pattern, however, there is still some steam left for the rally to go on. Price targets in the image below:
Sun Pharma
Sun Phama had been in news for its deal with Merck, the impact was seen on Sun Pharma Advanced Research Company. The various price levels have been displayed in the figure below.
The following stock displays a trend reversal.
Bajaj Auto
Bajaj Auto is displaying a Rising Wedge. This is a bearish reversal pattern. Considering a strong momentum in the Auto Sector, combined with the earnings season, this pattern is too hard to believe. The pattern is showing further confirmation with the negative divergence in the Volumes.Despite of these strong indications,it is advised to trade with caution.
So, here are some stocks which display similar uncertainty in the pattern,but we hope to see some bullish momentum in them based on the D-Street estimates
The following stocks have been covered in this post( as we hunt for many more :) ) -
ABB:
ABB has bagged a $120m order in China. With this, the symmetrical triangle in the figure below , is expected to show a bullish breakout. The target / stop loss & entry points have been shown in the chart below:
 |
| ABB Ltd. |
Lupin
Lupin has its earnings line up the following week and also it has displayed this pattern since a long duration, which indicates a strong pattern in the making.
 |
| Lupin |
Cipla has already broken out from its symettrical triangular pattern, however, there is still some steam left for the rally to go on. Price targets in the image below:
 |
| Cipla |
Sun Pharma
Sun Phama had been in news for its deal with Merck, the impact was seen on Sun Pharma Advanced Research Company. The various price levels have been displayed in the figure below.
 |
| Sun Pharma |
The following stock displays a trend reversal.
Bajaj Auto
Bajaj Auto is displaying a Rising Wedge. This is a bearish reversal pattern. Considering a strong momentum in the Auto Sector, combined with the earnings season, this pattern is too hard to believe. The pattern is showing further confirmation with the negative divergence in the Volumes.Despite of these strong indications,it is advised to trade with caution.
 |
| Bajaj Auto |
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