Stock name: Hindalco Industries Ltd.
Pattern: Double top pattern
Time frame: Daily
Observation:
The stock has been trending upwards since June 2022, but from May to August 2024, it stabilized and formed a double top pattern on its daily chart. On August 5, 2024, the stock broke out of this pattern, supported by above-average trading volume and low RSI levels. However, after the breakout, the stock has lingered around the breakout line without significant downward momentum. This suggests a possible retest of the breakout level. According to technical analysis, if the stock gains downward momentum, it may decline further.
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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: Bharat Petroleum Corporation Ltd.
Pattern: Rounding bottom pattern
Time frame: Monthly
Observation:
The stock experienced a downward trend from October 2017 but began recovering in 2023. It has now surpassed the highs of 2017 and formed a rounding bottom pattern on its monthly chart between October 2017 and February 2024. In February 2024, the stock registered a breakout with high trading volumes and has since moved upward. Currently, the stock has stabilized, with RSI levels cooling off from the overbought zone. According to technical analysis, if the stock regains upward momentum, it may continue to rise.
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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.
News for the day:
- Bajaj Finance Ltd., India's largest shadow bank, is seeking up to $500 million in offshore loans due to stricter RBI regulations limiting domestic borrowing options. The company is negotiating with at least four foreign banks for a loan tied to the Secured Overnight Financing Rate. This follows a trend of Indian shadow financiers turning to global credit markets after new rules made it harder to secure local bank loans.
- The Andhra Pradesh government has offered three sites—Machilipatnam, Ramayapatnam, and Mulapeta—for Bharat Petroleum Corporation Ltd. (BPCL) to build a proposed refinery-cum-petrochemicals complex. BPCL is considering an integrated complex with a capacity of 9-12 million tonnes per annum (mtpa), requiring 800-1,000 acres of land for a 9 mtpa capacity. The state, under N Chandrababu Naidu, is pushing for the project to boost economic activity and job creation. BPCL is evaluating the land options and may soon finalize a location.
- Inox Wind has secured a 51 MW equipment supply order from Everrenew Energy Private Ltd for its latest 3 MW Wind Turbine Generators. Inox Wind will also provide multi-year operations and maintenance services after commissioning. The project will be executed in Tamil Nadu, reflecting Everrenew's commitment to sustainable renewable energy. The financial details of the order were not disclosed. Both companies aim to establish a long-term partnership through this collaboration.
