Midcap results have been far better than the large caps like TCS and Infy. The midcaps are more in their niches and the revenues / profit growth is mid teens to 20s. Their margin profiles heave stayed steady. Persistent & other mid caps have already rallied close to life high. One stock that maybe next is LTTS (L&T Technology Services)
Supportive picture with a nice base forming - esp after results
Volatility compression happening (also calls have got very cheap)
Could rally through to the next results cycle - analysts generally have a negative view of this stock - which could cause re rating
Stock historically has seen better days - expect it to get closer to 4500 by next results cycle
Buy Stock for 6-10 weeks cycle. Keep the stop loss at -2 ATR level around 150 bucks. Buy ITM calls for the people who are shorter term - however dont expect super action very soon.
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Its come back to the 21 EMA - am doing nothing as of now. However if it closes firmly below the 21 EMA - i will issue a stop loss and you should cut the trade
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Still doing nothing - continue to hold
Trade closed manually
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Markets are not conducive to being long. Exit and wait for better time
what's the stop loss then.I m long in this script.
kunal_finner
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@sameerobc sorry I didn't see ur comment earlier. it's a volatile stock. so keep size low and stop around 3700 which is 1 atr level. don't keep very tight stop as it moves a lot. hope this helps. I exited this at even as there are better sectors in the market right now like pharma and fmcg
sameerobc
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@lazy_kunal should I cath the Pharma train now ? or should wait for other sector to perform ? any particular stock where fuel seems to b ignited soon ?
kunal_finner
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@sameerobc, Hi - I would suggest staying ready to buy in Pharma. Reasons being 1- Pharma is not seeming to do well after a long time (look at CNX Pharma Vs Nifty) 2- Some Pharma stocks seem to be setting up (of course - we may need to see results also next month) - Esp Zydus and Sun looked good to me - still doing some fundamental work there using trendlyne 3- If u do want to get into pharma stocks - please dont chase them. So many times i have chased stocks moving up only to have stop loss hit. Ba patient and set alert at 21 or 50 day moving average and get entry only at that point. Its better to have opportunity loss than actual loss in trading
kunal_finner
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@lazy_kunal, Sorry i meant Pharma Index is now doing better than Nifty (relative strenght is good)
kunal_finner
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Its come back to the 21 EMA - am doing nothing as of now. However if it closes firmly below the 21 EMA - i will issue a stop loss and you should cut the trade