Anant Raj Ltd- Broke out of consolidation.📊 Stock: Anant Raj Ltd.
📅 Timeframe: Daily Chart
🚀 Breakout Alert!
Key Observations:
Breakout Zone:
The price has recently broken out of a consolidation range (highlighted in the green box).
The breakout appears clean with a strong bullish candle, indicating upward momentum.
Entry Point:
The suggested entry level is marked at ₹874.90 (highlighted with a dashed purple line above the breakout zone).
The stock currently trades near this level, suggesting the breakout is still actionable.
Stop-Loss (SL):
The stop-loss level is set at ₹693.25 (on a closing basis), below the consolidation range, providing a safety margin if the breakout fails. SL is Deep so position sizing is key.
Trend Indicators:
The 50-day moving average (green line) and the 200-day moving average (yellow line) are sloping upward, signalling a strong bullish trend.
Price remains significantly above both these levels, affirming bullish dominance.
Volume Analysis:
A visible spike in volume during the breakout suggests strong participation from market participants, adding reliability to the upward move.
Target Levels:
Though not explicitly marked, potential target levels could be extrapolated using Fibonacci extensions or prior resistance levels. The upward purple dashed lines may indicate rough target zones.
Analysis:
Risk-Reward Ratio:
Assuming a target at ₹950 or above, the risk-reward ratio appears favourable considering the SL is at ₹693.25.
Bullish Sentiment:
The clean breakout with high volume is a strong bullish signal.
The consolidation before the breakout adds strength to the move, as it represents accumulation.
Strategy Recommendation:
Entry: Enter above ₹874.90 if today's close sustains above this level.
Stop-Loss: ₹693.25 (strictly on a closing basis).
Targets:
Short-term: ₹950
Medium-term: ₹1,000 or more, depending on broader market conditions.
Monitor volume closely!
-A continuation of rising volume will add confidence to this breakout.
-Price pulling back with huge volume is a cause for concern.
And remember the market is bearish. So please position size and manage risk properly. Do not scale everything in one go. It is better to trade light. If you are new to the market it is better to sit in the sidelines and watch until we get a clarity.
