Force Motors_- Rising Wedge, MACD-H shows a bearish DivergenceForce Motors_- Rising Wedge, MACD-H shows a bearish Divergence
FORCEMOT trade ideas
Force Motors - Long term value buyBuy 50% now and 50% either at 780 or above breakout at marked price of 975. (ideally 50% at 780 because we are buying this as a value pick and not to trade)
Some fundamentals worth knowing about the company
Force Motors
Market Cap: 1100cr
P/B 0.6
D/E 0.1
Company is a contract manufacturer for Mercedes and BMW. They supply engines and Axles. 50% revenue comes from this segment
They are also the leading mini van makers in India and command 68% market share.
They have recently tied up with Rolls Roye Global to contract manufacture for them. Factory should start sometime in 2020 or Early 2021. RR is shifting its entire manufacturing from germany to India to supply the world
Force has almost spent approx 1000cr on a new mobility platform for its minivans and recently launched the same. They plan to spend another 600cr towards this along with a new state of the art factory. Their focus for this new mobility platform is international markets for export. They also have an electric option.
business-standard.com
timesofindia.indiatimes.com
livemint.com
All this has been done thru internal accurals as the company is virtually debt free.
Also this leads to the company having a lot of focus on contract manufacturing..which is a theme our govt is highly focused on.
The only negative here is sales have slowed down short term because of Covid and H1Fy21 could be slow..
Technically the stock +ive triple divergence on the weeklies. The Monthly too has a divergence. So we could expect the stock to have bottomed out. A true indication of a reversal could be above 1100. But bottom fishing coz the same could start at approx 780 given the chance in the next correction...
FORCE MOTORS Elliot Wave AnalysisFORCE MOTORS 3H TF Elliot Wave Analysis
I think we will see Force Motors prices plummet in the coming days.
The overall Trend seems to be Bearish.
Next view is seen @ 784.75, 746.55, 697 odd levels. NSE:FORCEMOT
BullishShowing good momentum after forming base in Dec 19. Next weeks close should range from 1380 - 1428 for sustained momentum
Force motors bullish reversal from trend channelGood reversal in Force motors with huge green volume. for further move need to close above white trend line.
reversal in FMgood reversal in Force motors with huge green volume. for further move need to close above white trend line.
FORSE MOTORINVESTED AT @1140. Chart looking very good.
Chart for learning purpose only. All label mentioned.
Nov Sell jumps 42%, Positive divergence is seen in wkly candles!Keep on radar!
Disclaimer:I am NOT SEBI registered. THE OPINION GIVEN OR THE CHARTS PRODUCED HERE ARE FOR MY PERSONAL REFERENCE ONLY AND THEY ARE NOT ANY BUY OR SELL RECOMMENDATIONS. Kindly consult your investment advisor and family members before investing.
Force motorsStock has technically broken down from all it support levels , the last seems to be at 1400 INR , below this the stock will slowly move in three digits.
FORCE MOTORSA falling wedge pattern since jan 2017, however for the reveral a breakout has to be there, expecting a breakout in Oct, 2018 (between 8 &15) weekly basis.
Entry only after the breakout.
Disclaimer: I am a novice in the markets, so please don't construe your trade basis this chart. I post it to see if my views holds true.
Falling wedge in Force MotorsBreakout above 2550 can take it to 3100.
Medium term its a bearish counter.
ForceMotors - LongThe sideways trend is broken indicating the demand has kicked in. The zone is being retested and will be a support if it sustains.
One can long above 3050 as the trend will be established.
Buy - Above 3050
CBSL - 2850
Target - 3750
Force motors- a cypher bubble possibilityDisclaimer..not invested ...not an investing/trading recommendation
Force motors Bearish Movement on the charts . If 3260 is taken out see the accumulation zone getting activated till levels of INR 2950 -2850. The Fibonacci retracement level of INR 2850 can provide a bounce and this opportunity can be used to go long .
FORCEMOT : IN : SHORT AND MEDIUM TERM FORECAST : LONG @2700-3000As per my wave analysis..
Short term : Prices can go up to the Green TL, only to come back down to around 2700-3000 levels.
Medium term : Buy low at around 2700-3000 levels, when we get the reversal signals, target 5400++
FORCE MOTORS buy setupBuy FORCEMOT after a bounce above 3330
T1: 3500
T2: 3800
T3: 4200
T4: 4700
SL: 3080
How To Read MACAD - LessonThis setup is a an example of how to read MACAD.
There should be confluence.
Price shot of up after the trend line was broken
There were multiple confulences indicating strong movement in the expected direction.
MA's in all the three MACAD were above the MACAD "0" Line.
There are lot of other factors related to MACAD which made this setup sucessful. Please let me know if you have any queries.
******For Educational purposes only****
Force Motors: At New Highs, Looks Good For MoreWatch the green lines in the chart. If the price bounces off either of the two green lines, it would then be a sign that buyers are strong and eager to push the price higher. A Hammer-candle at either of these lines would make me interested in adding more of this stock.
