JINDAL SAW S/R Support and Resistance Levels:
Support Levels: These are price points (green line/shade) where a downward trend may be halted due to a concentration of buying interest. Imagine them as a safety net where buyers step in, preventing further decline.
Resistance Levels: Conversely, resistance levels (red line/shade) are where upward trends might stall due to increased selling interest. They act like a ceiling where sellers come in to push prices down.
Breakouts:
Bullish Breakout: When the price moves above resistance, it often indicates strong buying interest and the potential for a continued uptrend. Traders may view this as a signal to buy or hold.
Bearish Breakout: When the price falls below support, it can signal strong selling interest and the potential for a continued downtrend. Traders might see this as a cue to sell or avoid buying.
20 EMA (Exponential Moving Average):
Above 20 EMA(50 EMA): If the stock price is above the 20 EMA, it suggests a potential uptrend or bullish momentum.
Below 20 EMA: If the stock price is below the 20 EMA, it indicates a potential downtrend or bearish momentum.
Trendline: A trendline is a straight line drawn on a chart to represent the general direction of a data point set.
Uptrend Line: Drawn by connecting the lows in an upward trend. Indicates that the price is moving higher over time. Acts as a support level, where prices tend to bounce upward.
Downtrend Line: Drawn by connecting the highs in a downward trend. Indicates that the price is moving lower over time. It acts as a resistance level, where prices tend to drop.
RSI: RSI readings greater than the 70 level are overbought territory, and RSI readings lower than the 30 level are considered oversold territory.
Combining RSI with Support and Resistance:
Support Level: This is a price level where a stock tends to find buying interest, preventing it from falling further. If RSI is showing an oversold condition (below 30) and the price is near or at a strong support level, it could be a good buy signal.
Resistance Level: This is a price level where a stock tends to find selling interest, preventing it from rising further. If RSI is showing an overbought condition (above 70) and the price is near or at a strong resistance level, it could be a signal to sell or short the asset.
Disclaimer:
I am not a SEBI registered. The information provided here is for learning purposes only and should not be interpreted as financial advice. Consider the broader market context and consult with a qualified financial advisor before making investment decisions.
JINDALSAW trade ideas
Jindal Saw Ltd.*Jindal Saw Ltd.*
C&H Pattern: Yearly Basis
Strong Vol. Consolidation / Continued BuiltUp
Multiyear Price Trendline: BreakOut
With Upside, Trail SL
Book Profit as per Risk Appetite
Snapshot
Estab: ’84 (PR Jindal Group Co). Mfgs. LSAW, HSAW, DI, Seamless pipes & pellets.
6 Plants in India. Captive Iron-ore Mine (Bhilwara)/180 MMT/6-7MTPA production.
Sale: Domestic/Exports=82:18 (FY22)
Sales / Profitability: Improving (Jun’22 an Aberration)
RoA/RoE/RoCE: Stable /Improving
Moderate Leverage, Stable TNW. +ve CF from Ops. C&CE of Rs.220 Crs (Sep’22)
Order book of $974 Mn (Aug’22). Healthy Cash Accruals from Ops.
Concern:
High Investment / Loans & Advances in Subs.
High Contingent liabilities of ~Rs.1633 Crs (FY22)
Protracted litigation bw JITF (Sub) & NTPC.
Stretched WC Cycle.
Do Your Own Research as Well. This is Just an Opinion.
Happy Investing :)
JINDALSAW formed cup & handleCMP 142 | New 52 Week High | Good quarterly growth in the recent results | High volume gain | Bullish indicators | Increasing Revenue every quarter for the past 2 quarters
Iron & Steel
Product line of the company includes Large Diameter Pipes, Line Pipes, Ductile Iron (DI) Pipes, seamless tubes etc
*Not recommendation
