Category Archives: Technology Stocks

Energy Stocks, Indian Stock Market, Technology Stocks

Reliance (RIL) Stock Analysis-07Feb2020

Reliance Industries Ltd (RIL) is the top weight stock in Nifty50 index. Reliance had a sharp correction after declaring best ever quarterly results on 19 Jan 2020. That correction also impacted Nifty, but this week saw good recovery in Reliance from oversold levels, and it also helped in recovery of Nifty50 index.

One of the technical reasons for the sharp correction in Reliance (RIL) stock is that it made a triple top at 1600 and that was a strong bearish setup with significant penalty. Most stocks would have corrected a lot more than Reliance on such a setup.

This week, Reliance recovered from a low of 1363 to a high of 1467. The 50 day SMA is at 1525, and 10 day SMA is at 1434.  Today Reliance stock has closed at 1432. We can expect the Reliance (RIL) stock to continue recovery till 1480-1500 levels.

A retest of 1400 level is also possible in the coming week, before moving up towards 1480-1500 level. Traders can stay long with 1390 as stop loss. 1363 is the absolute stop loss on all long trades. However, around 1500 level, there will be significant resistance or selling pressure.

Please note that below 1363, new downside till 1300-1260 will open up immediately. Our Reliance Stock Trading Strategy is to stay long above 1363 for target of 1480 and 1500.

If you trade Reliance stock in a larger way, either in shares or futures, please contact us for partnership opportunities. This is our long term core portfolio stock, which has given us consistent gains. Thanks.

Automotives, Banking, Biotech Stocks, Energy Stocks, Financial Stocks, Indian Stock Market, Pharma Stocks, Stock Market News, Technology Stocks

Indian Equity Market Update – 04Feb2020

Mumbai, 04 Feb 2020. Key equity benchmarks on NSE and BSE ended with robust gains today, supported by steep slide in crude oil prices and positive global shares – after the sharp sell off on Budget Day on Saturday, 01 Feb 2020.

Nifty50 index gained 271 points to 11,979.
BSE Sensex gained 917 points to 40,789.

Market breadth was tilted towards buyers. On the BSE, 1564 shares rose and 856 shares fell. In Nifty 50 index, 45 stocks advanced while 5 stocks declined. Fitch Ratings on Monday said India is expected to clock a GDP growth of 5.6% in the next financial year, as Budget 2020 has not “materially altered” its view on the country’s growth outlook.

The Economic Survey of India released by the government last week projected India’s growth rate at 6-6.5% for FY21. NMDC (up 6.16%), Jindal Steel & Power (up 5.35%), Hindustan Copper (up 4.61%), Hindalco Industries (up 4.24%), SAIL (up 4.02%), Tata Steel (up 3.65%), Vedanta (up 3.24%), JSW Steel (up 2.74%), National Aluminium Company (up 2.04%) and Hindustan Zinc (up 1.93%) advanced. Titan Company jumped 7.59% to Rs 1276.

Reliance Industries gained 2.86% to Rs 1425. L&T advanced 0.56% to Rs 1293.95. Bajaj Auto slipped 4.09% to Rs 3155. TCS was up 0.18% to Rs 2107. Honeywell Automation jumped 14.40% to Rs 31785. PNB fell 1.05% to Rs 56.75. Shriram Transport Finance Company surged 6.58% to Rs 1051.65. Sun Pharmaceuticals advanced 2.06% to Rs 426.10. GlaxoSmithKline Pharmaceuticals crashed 11.71% to Rs 1454.60.

In the US data on the manufacturing sector from the Institute for Supply Management, the purchasing manager’s index rose to a six-month high of 50.9% in January. Media reports showed that OPEC members are planning an emergency meeting for discussing large production cut. The outbreak of the Coronavirus and China’s efforts to stop the spread mean the economy will grow slower this quarter than first thought, according to economists.

Indian Stock Market, Stock Investments, Stock Trading, Technology Stocks

TCS Stock Analysis-24Dec2019

TCS stock closed today at 2215. Day Open 2236, Day High 2242, Day Low 2211.

For the last 8 months, TCS has been mostly in the range between 2000 and 2220, and 2020 has acted as a strong support level everytime. 2280 level was attempted once but it failed, and gave a big correction, and 1900 level was tested successfully recently, and it gave a big rally. 2020 is a strong buying level for TCS.

The uptrend that started on 13 Dec 2019 is still intact. However, TCS stock is facing massive resistance/selling pressure at 2230-2250 level, and it has not been able to cross it in the last 6 months, despite 5 previous attempts. This is visible clearly in the weekly chart below.The 50 week moving average has been providing constant support at lower level, and the stock has been closing above that and trending up. This set up indicates either a definitive breakout above 2300 in the coming weeks, or a breakdown below 1900 (the two outer range levels for TCS in last 6 months). As the long term trend is up, a breakout above 2300 has higher probability in the coming 3-6 months. Above 2300, the upside target will be 2500.

TCS stock has a good correlation with S&P500, Nasdaq100 indices in the US market, because majority of TCS clients are based in North America (USA, Canada) and Europe.
TCS stock has been much more stable and stronger than its competitor Infosys.

If you are interested in trading TCS stock or futures, ongoing basis, please contact us for our specific service for this purpose.  You can also use the Alpha Stock Trading Course to capture all major uptrends in TCS or any stock or index.