HINDUNILVR trade ideas
HINUNILVRNSE:HINDUNILVR
One Can Enter Now ! Or Wait for Retest of the Trendline (BO).
Note :
1.One Can Go long with a Strict SL below the Trendline or Swing Low of Daily Candle.
2. Close, should be good and Clean.
3. R:R ratio should be 1 :2 minimum
4. Plan as per your RISK appetite
Disclaimer : You are responsible for your Profits and loss, Shared for Educational purpose!
HUL long term investmentTechnical Analysis :
-- Strong support at 2047
-- Strict Stop Loss = 2440
-- Risk : Reward = 1 : 3
-- Target = 3450
-- Golden crossover in Daily
-- Just crossed the trendline
-- For long-term investment please ignore the targets.
Fundamental Analysis :
-- The company has existed for more than 10 years
-- The company is virtually Debt-free
-- CAGR : 5 year - 17% & 10 year - 18%
-- Revenue, Profit Growth : Over the last 5 years, revenue has grown at a yearly rate of 9–10 %
-- ROCE: Maintaining healthy ROCE of 38.22% (1 year), 90.51(3 years), and 95.95% over the past 5 years.
-- Cash Flow: Over the last 5 years, free cash flow growth has been 8.27%. Which is on the positive side.
-- P/E ratio: Stock is not overvalued as its near to its historical average
-- Maintaining a healthy Dividend
HINDUSTAN UNILEVER ANALYSIS!!i want to say a lot of things in this idea.
so i will take it step by step, and be with me till the end of it.
first lets talk about the trend lines:
TREND LINES:
the blue lines: are the trend been followed by the stock past from the corona crash.
the major black lines is the new trend which should be followed by the stock.
this is because, the 2020 crash gave a boost to markets, and even many other sectors got benefitted from it.
HUL is the market leader, and do takes a good position in NIFTY 50, the fmcg sector has a good future(said by many analysts), the sector is forming and be gonna great in coming future.
HUL will support the above statement. the trend is drawn by the markets consolidation, and major points of resistance and support.
the red lines drawn are just crucious level to watch when to buy/sell considering only short term swing trading. yup, more can be drawn, but i found out those as much more crusious
the major green line is the support taken by the stock, after the FII selling been stopped and markets started to recover, and make the stock come back to its new trend.
2nd step: FIBBONACI RETRACEMENT:
recently the stock came down and stopped at 0.5 level. and now it is followed by going upside, with a green candle.
this week will be a could positive reaction of the stock. offcourse in the month of DEC, i am positive too.
(fibonnaci is taken from the lowest point of 2020 crash till, the ATH of stock).
3. RSI INDICATOR.
do note in the weekly chart of this stock, the RSI have mostly ranged from 45-75. currently its around 50, so this increases a lot of chance that HUL is undervalued.
FINAL POINT: i could still more add more indicators, to show, but not to consider over analysis, or say not make my idea so lengthy. its obvious more this 3 points(stated above), that HUL is a great to buy at this level.
one could earn about 20% from the swing trade, and about 40% return annually.