Stock name: Abbott India Ltd.
Pattern: Cup and handle pattern
Time frame: Daily
Observation:
The stock has experienced significant upward movement since December 2023. From March to August 2024, it formed a cup and handle pattern on the daily chart, breaking out on 22 August 2024 with substantial volume. Following the breakout, the stock has continued to rise. Technical analysis suggests that if the current momentum is maintained, it may see further upward movement. It's advisable to look for additional confirmations, such as RSI levels and the MACD indicator.
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Disclaimer: This analysis is purely for educational purpose and does not contain any recommendation. Please consult your financial advisor before taking any financial decision.
Stock name: Godrej Industries Ltd.
Pattern: Cup and handle pattern
Time frame: Daily
Observation:
The stock has shown strong upward movement since November 2022. Between May and August 2024, it formed a cup and handle pattern on the daily chart and broke out on 27 August 2024 with significant volume. The stock has sustained the breakout with slight upward movement. As per technical analysis, if the stock is able to maintain the momentum it may see further upward movement. It's advisable to look for additional confirmations, such as RSI levels and the MACD indicator.
You may add this to your watch list to understand further price action.
Disclaimer: This analysis is purely for educational purpose and does not contain any recommendation. Please consult your financial advisor before taking any financial decision.
News for the day:
- Singapore Airlines (SIA) has received approval from the Indian government for its foreign direct investment (FDI) in the merger between Vistara and Air India, which was announced in November 2022. This merger, aimed at creating a dominant full-service airline, will see SIA hold a 25.1% stake in the combined entity. The merger, which has also received anti-trust and regulatory clearances, is expected to be completed by the end of 2024, pending compliance with Indian laws.
- Starting November 1, 2024, the Indian government will remove the cap on sugar diversion for ethanol production, allowing the use of cane juice, syrup, and various molasses types. Distilleries are also permitted to purchase up to 2.3 million metric tons of rice from the Food Corporation of India for ethanol production. This policy aims to boost renewable energy while ensuring stable sugar availability. The Department of Food and Public Distribution, along with the Ministry of Petroleum and Natural Gas, will monitor the impact on sugar supplies to maintain domestic availability.
- Despite the excitement among retail investors over Reliance Industries' (RIL) bonus share announcement, the company's Annual General Meeting (AGM) did not provide any new catalysts for brokerages to raise target prices. While the listing of RIL's consumer-facing businesses, Reliance Jio and Reliance Retail, could lead to a re-rating of India's most valuable stock, Mukesh Ambani made no mention of this during his AGM speech, leaving target prices unchanged.
