Ultratech cement has performed really well in the past week bouncing from it's demand zone. There can be a breakout from the current zone and it can head towards the next supply zone of 3850 which was a great support zone in the past. This support zone will act like a resistance zone now. My positive outlook is validated by:
1. Bollinger Bands - On the daily charts, it has given a close just below the upper band. Bollinger Bands tell us about the volatility of the stock, and right now the upper band is pointing upwards which tells us that the rally might continue.
2. Support and Resistance - Ultratech bounced from it's support zone of 3250 this week with a great closing on friday. Even on the weekly chart, it has bounced from it's support zone. It has closed near it's resistance zone for the third time which indicates there is potential in this stock in near future.
3. RSI - RSI is a trend based indicator which tells us how strong the trend of the stock is. It ranges between 30-70 usually, which tells us where the trend is. Right now it is trading near 57 which tells us that the trend is also in our favor.
Ultratech is a very volatile stock with huge swing movements, therefore people should be careful when entering. Keep a strict stoploss of 3480 for a target of 3850.
*This is my opinion and i am not sebi registered*
1. Bollinger Bands - On the daily charts, it has given a close just below the upper band. Bollinger Bands tell us about the volatility of the stock, and right now the upper band is pointing upwards which tells us that the rally might continue.
2. Support and Resistance - Ultratech bounced from it's support zone of 3250 this week with a great closing on friday. Even on the weekly chart, it has bounced from it's support zone. It has closed near it's resistance zone for the third time which indicates there is potential in this stock in near future.
3. RSI - RSI is a trend based indicator which tells us how strong the trend of the stock is. It ranges between 30-70 usually, which tells us where the trend is. Right now it is trading near 57 which tells us that the trend is also in our favor.
Ultratech is a very volatile stock with huge swing movements, therefore people should be careful when entering. Keep a strict stoploss of 3480 for a target of 3850.
*This is my opinion and i am not sebi registered*