Continuation Pattern Breakout seen in Crude oil Marketing stockHello everyone, i have brought a stock which has given a neat and clean Ascending triangle pattern Breakout with good volume spike stock name is HPCL, before to jump into stock i want to teach you guy's about this pattern so if you see from next time onwards, you can play this.
Q:- What is Ascending Triangle Pattern?
Ans by Rahul:- It is a bullish continuation pattern that occurs in an uptrend and signals that the price of the stock will continue to trend higher on completion of the pattern. This pattern shows that buyers are getting very aggresive and are likely to take prices higher once the price breaks through the pattern.
Q:- How to Trade this Ascending Triangle Pattern?
Ans by Rahul:- First of all you have to wait with patience to see a perfect breakout on chart with good volume spike. Then you have to take entry once breakout confirmed, and the potential target for the pattern is normally calculated by projecting the height of the Ascending triangle at it's thickest point above the breakout point and stop loss will be placed at the swing low which occurs just before the price breaks the resistance on the upside as shown in HPCL chart above. This will give us favorable risk to reward ratio.
So, I hope you now know about this pattern (Ascending Pattern). If you really learned something, don't forget to like this idea, because it will increase my confidence level to provide you guys with this type of learning content as always.
Let's focus on Company Now:-
Hindustan Petroleum Corporation Ltd is mainly engaged in the business of refining of crude oil and marketing of petroleum products, production of hydrocarbons as well as providing services for management of E&P Blocks.
Market Cap
₹ 84,175 Cr.
Current Price
₹ 396
High / Low
₹ 402 / 159
Stock P/E
8.52
Book Value
₹ 221
Dividend Yield
6.70 %
ROCE
21.3 %
ROE
40.4 %
Face Value
₹ 10.0
Industry PE
11.5
Debt
₹ 66,684 Cr.
EPS
₹ 46.4
Promoter holding
54.9 %
Intrinsic Value
₹ 318
Pledged percentage
0.00 %
EVEBITDA
7.25
Change in Prom Hold
0.00 %
Profit Var 5Yrs
19.1 %
Sales growth 5Years
9.51 %
Return over 5years
17.6 %
Debt to equity
1.42
Net profit
₹ 9,883 Cr.
ROE 5Yr
16.7 %
Profit growth
18.5 %
Earnings yield
9.99 %
Disclaimer:- Please always do your own analysis or consult with your financial advisor before taking any kind of trades.
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Thankyou.
