IRCTC Ltd. An opportunity to onboard this railway stock ?
A simple yet effective trading setup can be seen in IRCTC Ltd.
As per the technicals, we are witnessing a simple but one of the most effective charting pattern - The Symmetrical Triangle. The stock spent a decent amount of time in it's consolidation phase of the pattern. The stock not only broke it's resistance level, but also managed to break the 50 EMA which was supported by strong volume on a daily basis in today's trading session. Thus, this might just be the correct time to add this stock under the watchlist as a swing trade opportunity can be seen here. Although, it's worth mentioning to check the strength of the bulls by allowing some time for a retest of the 50 EMA and the resistance level. An ideal entry should be between 618-625 levels. On the upside, the stock can go upto the levels of 673-686. An ideal stop loss should be around 590-592 levels.
As per the Fundamentals, the stock is priced just at it's perfect valuation (P/E of 76). Also, the attractive valuation is supported by steady and increasing EPS., hence making it very attractive to build up the portfolio at current price levels. The company is expected to provide decent figures for the quarter. Thus, long term investors can also consider to add this stock in their portfolio.
The above analysis is just for educational purpose. Investors/Traders are advised to do their own reasearch before making any decisions.
As per the technicals, we are witnessing a simple but one of the most effective charting pattern - The Symmetrical Triangle. The stock spent a decent amount of time in it's consolidation phase of the pattern. The stock not only broke it's resistance level, but also managed to break the 50 EMA which was supported by strong volume on a daily basis in today's trading session. Thus, this might just be the correct time to add this stock under the watchlist as a swing trade opportunity can be seen here. Although, it's worth mentioning to check the strength of the bulls by allowing some time for a retest of the 50 EMA and the resistance level. An ideal entry should be between 618-625 levels. On the upside, the stock can go upto the levels of 673-686. An ideal stop loss should be around 590-592 levels.
As per the Fundamentals, the stock is priced just at it's perfect valuation (P/E of 76). Also, the attractive valuation is supported by steady and increasing EPS., hence making it very attractive to build up the portfolio at current price levels. The company is expected to provide decent figures for the quarter. Thus, long term investors can also consider to add this stock in their portfolio.
The above analysis is just for educational purpose. Investors/Traders are advised to do their own reasearch before making any decisions.
Trade closed: target reached:
Target levels has been succesfully achieved in this trade in a shorter period of time.