BUY TODAY SELL TOMORROW for 5%DON’T HAVE TIME TO MANAGE YOUR TRADES?
- Take BTST trades at 3:25 pm every day
- Try to exit by taking 4-7% profit of each trade
- SL can also be maintained as closing below the low of the breakout candle
Now, why do I prefer BTST over swing trades? The primary reason is that I have observed that 90% of the stocks give most of the movement in just 1-2 days and the rest of the time they either consolidate or fall
Resistance breakout in BHARATSE
BUY TODAY SELL TOMORROW for 5%
Bharat Seats Limited
No trades
No trades
In-depth trading ideas
Bharat Seats cmp 211 by Weekly Chart viewBharat Seats cmp 211 by Weekly Chart view
- Support Zone at 195 to 205 Price Band
- Stock Price is riding along over the Rising Support Trendline
- Weekly basis > Support at 187 > 156 > 117 with Resistance at 239 > ATH 273.90
- Volumes are seen spiking heavily intermittently indicative of good demand based buying in stock
- *Bullish Cup & Handle and/or Head & Shoulder pattern as one may interpret and decipher the technical chart setup
Retested Breakout in BHARAT SEATS LTD BHARAT SEATS LTD (BHARATSE) has indeed retested its breakout. This could be a positive sign as it often indicates that the initial breakout was strong and sustainable.
Entry:
Pullback: If the price pulls back after the breakout, consider buying on this pullback as long as it doesn't retrace too much of the initial move.
Target:
Previous High: A potential target could be the previous all-time high, which is around T1 : 240
and T2 : ₹260-270
Fibonacci Extensions: Using Fibonacci extensions based on the breakout move can also provide potential target levels.
Stop-Loss:
Swing Low: Place a stop-loss below the recent swing low, around ₹200.
Please note: These are general recommendations based on the information provided. It's crucial to use your own judgment and consider your risk tolerance when making trading decisions. Always consult with a financial advisor for personalized advice.
Bharat SeatsBharat Seats
Cmp = 168
Tgt = 204
Sl = 136
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Bharat Seats Ltd - Long Term Investment OpportunityIncorporated in 1986, Bharat Seats Limited (BSL) is a joint-venture (JV) between the Indian promoters Relan Group (25.9%), Maruti Suzuki India Limited (14.81%) and Suzuki Motors Corporation (14.81%) involved in manufacturing of cars seats floor carpets for MSIL and two-wheeler seats for Suzuki Motorcycle India Private Limited (SMIPL). BSL is promoted by Mr. Rohit Relan and his family. BSL is the sole supplier for seat sets for several key models of MSIL.
Expansion of Manufacturing Facilities: The company has manufacturing facilities located at Gurgaon, Manesar and Borakalan in Haryana. Further, it is in the process of setting up another facility in Surendra Nagar (Gujarat), expected to be operational by April 2021.
First Patent and product for Railways: R&D team has designed Modular Berth for Indian Railways. Co. has registered its First Patent. This is a unique design for quick replacement of defective pads/trims rather than replacing complete Berth.
R&D: The co. had worked on developing Seating Systems for Hatch-Backs, Sedans and SUV segment vehicles, moulding floor carpets for 4-wheelers, extrusion components for vehicle roof and windshield installation for Maruti Suzuki India Limited. They also recently developed Seats and the complete frame assembly (2-Wheelers) for Suzuki Motorcycle India Private Ltd.
Focus: BSL is planning to adopt new technologies and features to enhance seat comfort and value addition for customers, manufacturing products at global quality standards, leverage expertise of technology partners and build local capabilities in key areas e.g. high tensile stampings and high tensile tooling development. Develop vacuum foaming seats for 2-wheelers to improve aesthetics and ride comfort for end customer. Enhance NVH product capabilities and introduce additional NVH products with TAA partner support. Bharat Seats also plans to design and develop new extrusion products to increase product range.
FUNDAMENTALS:
> It is a Small Cap company with a market cap of just Rs.290 Cr. Very small company.
> The ROCE and ROE is at 7.25% and 4.18% respectively.
> OPM is at 6% as per Mar 21 Balance Sheet.
> Stock P/E is at 18 which makes the valuation very attractive as compared to Industry P/E of 32.4.
> Robust Topline and Bottomline, continuously increasing on QoQ basis.
> Debts: The company have Debts of Rs . 31 Cr as per Mar 21 Balance Sheet which is much below the acceptable limits as compared to Reserves.
> Reserves: It is Rs. 110 Cr as per Mar 21 Balance Sheet.
> Promoters holding is above 74.59% as per March 21 Balance Sheet and maintained over 74% since last 10 years, like they trust their own business and staying invested.
> FIIs and DIIs have negligible investment in the company.
TECHNICALS:
> The stock has taken long 3+ years to make a wonderful rounding bottom pattern after taking support at Rs.29 levels. It ready to give breakout with huge volume.
> On the chart stock is continuously in UPTREND since March 2020 Covid fall.
> Increasing Long Volume towers as indicated by blue arrows at the bottom indicates that lot of accumulation is going on in the stock continuously.
> Compare the recent volume with the volume when the stock was falling. Stock is picking up momentum.
> Trading above 100 and 200 DMAs, this talks about the strength in the bull run of this stock.
Now if we look at the market from broader perspective, Automobile industry is in good momentum specially all small and midcap Auto Ancillary business. Maruti Suzuki India Limited and Suzuki Motorcycle India Private Limited are the major client of this company and if you look at their numbers, it’s increasing with a good pace even in this slowdown market. This trade will test your patience, enter only if you are ready.
Fresh Buy - AT CMP i.e. Rs.92
Old Buy – Hold
Target 1 & 2 –172 (87%) & 271 (+194%).
Risk Management Tip: Never invest more than 5% of your capital in any single stock.
Your likes and comments motivate me to bring more profitable studies like this.
Happy Investing!
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