Godrej Consumer Products made a massive run in the 2020 -2021 period and made an all-time high of 1138. But post this the stock was in downtrend and corrected 40% from the top. During this correction the price had formed a strong support around the price Level of 690 which happens to be 0.618 Fibonacci retracement level. A large base is confirmed and hence the stock has seen a sizable upside.
There is higher high and lower low formation, so one can buy the stock when it closes above1085 with a Sl of 1070 and a target of 1100 to 1120. The stock is consolidating currently and is forming a Flag pattern which is one of the continuation patterns. Volume at the upper side of the range is increasing which adds considerable strength. The stock looks good from daily, weekly, and monthly perspective with ADX rising and volume confirming the stock it is suggesting strong momentum.
Conclusion -The setup looks poised for a good move in the up-coming weeks. A gradual move towards the level of 1100 to 1120 is possible.
There is higher high and lower low formation, so one can buy the stock when it closes above1085 with a Sl of 1070 and a target of 1100 to 1120. The stock is consolidating currently and is forming a Flag pattern which is one of the continuation patterns. Volume at the upper side of the range is increasing which adds considerable strength. The stock looks good from daily, weekly, and monthly perspective with ADX rising and volume confirming the stock it is suggesting strong momentum.
Conclusion -The setup looks poised for a good move in the up-coming weeks. A gradual move towards the level of 1100 to 1120 is possible.