Emerging aerospace and defense manufacturer

Jun 10

CYIENTDLM
Overview: CYIENTDLM is a leading electronics system design and manufacturing player in the aerospace and defense sectors and other high-tech engineering segments. It is attractively priced to enter into a short term trade.

Fundamentals: As it is a high growth company, it has high PE ratio of 88, however its financials supports its expensive valuation. Sales have grown by 44% and Profits have risen by 90% YoY. With a PEG ratio of 0.64, it is expected to grow at a fast pace.

Technicals: CYIENTDLM has been trading in the range of 600 - 700 for the past 9 months. It faces resistance at 700 level. If it crosses 700 and closes above it, it can target its next resistance which is at 800. The Relative Strength Index gives a bullish indication as the RSI line (green color) has crossed above the Signal line (yellow color) and the RSI is not in the overbought zone.

Strategy: When CYIENTDLM forms a green candle and closes above 700, you may enter into a long position with a stop loss at 650. When the stock reaches 800 - 810 range, you may exit your position. However those with higher risk appetite may exit position when it makes a fresh 52 week high.

Nov 10

Trade active

You may enter into the same trade once again as the stock has returned to its starting position before it makes a bull run to the top.