Stock name: Jubilant Foodworks Ltd.
Pattern: Head and shoulders pattern and retest
Time frame: Daily
Observation:
The stock exhibited a positive trend since March 2023. From September 2023 to February 2024, it has formed a head and shoulder pattern on the daily chart. A breakout occurred on February 29, 2024, accompanied by significant trading volume and a bearish MACD indicator. Following the breakout, the stock underwent an initial retest of levels, and currently, it is on a downward trajectory with a low RSI. Based on technical analysis, the stock might continue its descent if the current momentum persists.
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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: HDFC Life Insurance Company Ltd.
Pattern: Double bottom pattern
Time frame: Daily
Observation:
Since December 2023, the stock has been experiencing a decline. However, between January 23, 2024, and March 04, 2024, it stabilized and established a double bottom pattern on its daily chart. A breakout from this pattern occurred on March 04, 2024, accompanied by substantial trading volume. The RSI levels of the stock are also in a favourable range. According to technical analysis, if the stock sustains the breakout momentum, it may see an upward movement.
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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:
- Mahindra & Mahindra's promoter group entity, Prudential Management and Services Pvt Ltd (PMSL), is selling shares through Kotak Securities to address specific liquidity needs. The sale will decrease PMSL's holding and reduce the overall promoters' stake in the company from 19.32% to 18.57%. The move aims to meet the family's liquidity requirements, as clarified by the company in response to news reports on the share sale.
- IIFL Finance is securing a $200 million liquidity boost from top shareholder Fairfax India after the RBI banned its gold loan disbursals, causing liquidity concerns. Fairfax India, holding 15%, expresses confidence in IIFL's management. The RBI's directive led to a 36% share price drop, prompting the liquidity support. IIFL Finance is committed to compliance, with the RBI set to review after a special audit and rectifications.
- Indian Oil Corporation (IOC) plans to be the first Indian company to produce Formula One (F1) fuel, with 'Storm - Ultimate Racing Fuel' unveiled for the FIM Asia Road Racing Championship. IOC aims to manufacture F1-grade fuel within three months, expressing ambitions to enter the high-performance racing sector. The specialized fuel meets FIM Category 2 race fuel requirements and emphasizes IOC's interest in providing for F1 teams with flexible fuel supplier options.
