CORBORUNIV: Rectangular Pattern Breakout Candidate
The stock has been moving in a narrow range rectangular pattern for a couple of days now.
On Friday, July 23, we observed a spike in volume, bringing it towards the upper resistance and the 52W high levels.
Carborundum had good results last quarter, and it next set of results are expected on August 2. May be this has lead to renewed interest in the stock.
Depending on your risk profile, stock can be either bought at current levels, or you can wait for the resistance level (~680) to be broken with volumes and then enter the trade.
Depending on the follow through, we can expect targets of 736 and 840 in short to mid term.
The stop loss can be maintained at 610 level, which is the lower end of the rectangular range.
Supporting technicals:
RSI: 63 ( Bullish but not overbought)
ADX: 33 (Suggesting strong trend)
P.S: This idea is for educational purposes only and should not be construed as an investment advice.
On Friday, July 23, we observed a spike in volume, bringing it towards the upper resistance and the 52W high levels.
Carborundum had good results last quarter, and it next set of results are expected on August 2. May be this has lead to renewed interest in the stock.
Depending on your risk profile, stock can be either bought at current levels, or you can wait for the resistance level (~680) to be broken with volumes and then enter the trade.
Depending on the follow through, we can expect targets of 736 and 840 in short to mid term.
The stop loss can be maintained at 610 level, which is the lower end of the rectangular range.
Supporting technicals:
RSI: 63 ( Bullish but not overbought)
ADX: 33 (Suggesting strong trend)
P.S: This idea is for educational purposes only and should not be construed as an investment advice.
Trade closed: target reached:
Target 1 achieved on Aug 2, 2021