DJ Advisory

The charts of Asian equity markets are extremely constructive across the board

2014-07-31T20:04:00.000+05:30

Some Asian indexes have already experienced major upside breakouts. Other indexes and ETFs are on the verge of upside breakouts of historic magnitude.

A pictorial review of Asian index futures and ETFs is in order, without comment.

Multibagger Idea !

2014-04-12T09:54:00.000+05:30

In infrastructure companies in india the worst is over and the only direction it can go is up. GMR Infra has made more than 2 years bottom. And given breakout on weekly chart with formation of 16 months Head & Shoulders - Bottom pattern. Trade long with stop loss of 23 for target of 33 and 45. (CMP 25.75)

SESA Double Top

2014-03-15T11:05:00.000+05:30

It has breakdown of 6 months Double Top and 5 months Wedge patterns. Trade short, if close below 168 with stop loss range of 188 to 178 for target of 145 to 135.

HDFC Ltd.

2014-03-15T10:54:00.002+05:30

HDFC complete it consolidation. It is on the verge of a breakout, of 6 months Rectangle and Head & Shoulders Bottom patterns. Trade long, if close above 860 with stop loss range of 830 to 850 for target range of 930 to 960.

Cipla Ltd.

2014-02-22T11:20:00.000+05:30

This chart is the classic example of big patterns are launch with the formation of small patterns. Cipla is in a 13 months rectangle pattern, between 426 to 364. And 8 month Head and Shoulders Top with neckline at 378. It has close to consecutive weeks below 378. Trade short if close below 364 with stop loss of 378 for target of 300.

GAIL

2014-02-01T19:02:00.000+05:30

It has form 13 months Head and Shoulders bottom. Friday close above Neckline of 356 as confirmed the pattern. In daily chart the right shoulder is 3 months Ascending Triangle. Trade long for target of 395 to 430.

Reliance

2014-01-27T18:47:00.002+05:30

The daily chart of Reliance Industries ltd. is forming a textbook H&S Top pattern. Note the symmetry between the two shoulders in both duration and depth. A decisive close below 836 would complete this pattern and establish an initial downside target of 800 to 765.

Indian Rupee begins new period of depreciation against US Dollar

2014-01-25T19:49:00.001+05:30

The longest term chart shows that the Rupee has been in an historical trend of depreciation against the USD. The Rupee is coiling within a 5-months Descending triangle on the daily chart. The daily chart shows that the jump today has resolved a 5-month trading range. If this move in the USDINR holds, it will prove to be the blast off in the next phase of Rupee depreciation. Very possibly a target to 64 to 65.75.

ACC Double Top

2014-01-25T19:25:00.001+05:30

ACC has Breakdown of classic textbook Double Top pattern after 5 months of consolidation. Trade short with stop loss of 1040 for target of 880 in coming months.

Nifty TOP

2014-01-25T19:14:00.001+05:30

The Daily chart of Nifty is forming a textbook H&S Top pattern. Note the symmetry between the two shoulders in both duration and depth. If this analysis is correct, Nifty may have already established a right shoulder top. A decisive close below 6130 would complete this pattern and establish an initial downside target of 5920.

NMDC Ltd.

2014-01-18T21:19:00.002+05:30

It has given breakout of 10 weeks Ascending Triangle pattern. Trade long with stop loss of 140 for target of 165.

Tata Motors

2014-01-12T19:19:00.001+05:30

More than two years rising Wedge has given false breakout and now again it is in the pattern. Trade short with stop loss of 380 for target of 310.

New uptrend in Pharma Sector

2014-01-04T10:43:00.001+05:30

RANBAXY has given 10 months Head & Shoulders breakout. Trade long with stop loss of 457 for target of 570.

SUN Pharma has given breakout of 12 weeks descending wedge pattern. Trade long with stop loss of 565 for target of 645.

Kotak Mahindra Bank

2014-01-04T10:31:00.002+05:30

Entire Banking Sector stocks has given downward breakout of there short term bearish pattern. KMB has breakdown of 8 weeks Head & Shoulders top. Trade short with stop loss of 732 for target of 675.

Divine blessing from Ramdevji for 2014

2013-12-29T12:08:00.001+05:30

The year 2013 has put the foundation of next bull market in India, with most economist believe that worst is over. First half of the year is going to see the major bull run of the market. IT and Pharma will be the strongest sectors. Dark horse will be Oil and Metal sectors. Power and Infrastructure will be the weakest sectors. Banking will be weak for next two quarters, so trade Bank Nifty long only if, it is above 11000, for year target of 16000. In Nifty trade long on every fall with stop loss of 5970 for year target of 7150.

In investing, what is comfortable is rarely profitable
WISHING YOU ALL A VERY HAPPY NEW YEAR

DLF bottom out

2013-12-28T18:05:00.001+05:30

It is forming 5 months bottoming Ascending Triangle and 8 weeks Head & Shoulders bottom. This week it as close above neckline of 167. Trade long with stop loss of 163 for target of 184 and 204.

Banking is Bearish

2013-12-22T20:41:00.000+05:30

Bank Nifty and Banking stocks is forming bearish rising wedge pattern. Sell on rise with stop loss of weekly high for target of 50% from September low to recent high.

SUGAR in a sweet spot

2013-10-03T19:48:00.002+05:30

Sugar has confirmed a major bottom in international dollar chart. In India both Renuka and Balrampur has confirmed head and Shoulders bottom. Investors can accumulate Renuka with stop loss of 15-17 for target of 38, 52 and 80. Balrampur with stop loss of 35-40 for target of 70, 95 and 150.

Charts to watch

2013-09-29T11:49:00.000+05:30

I am becoming interested in the metal markets. The Copper, Silver and Gold charts are displaying possible Head & Shoulders bottom patterns. Although the left shoulder is awkward. However, a decisive close below this week's lows would alter the above analysis and could lead to a retest of the June lows. But my guess is the right shoulder which will be subject to considerable change before the next trend is declared. I would buy an upside breakout but would not short below the september lows.

Nifty Gaps

2013-09-21T15:49:00.001+05:30

1) According to the gap theory Exhaustion gap is the last leg of a trend. Which is negative.
2) Nifty as penetrated the upper channel line at 5970 of descending flag or wedge. Which is positive for target of 6730.
3) It has completed 'Head' of a possible 3 months Head and Shoulders Pattern. Which has neckline at 5993. Which is negative.
Conclusion
Hold your long position till Nifty close decisively below 5970. Below 5970 one can short Nifty with the stop loss of recent high, because it start forming right shoulder which has target of 5550-5450.

Multibagger Idea!

2013-09-06T20:48:00.002+05:30

To interpret past patterns on the assumption that 'history tends to repeat itself' is the base of analysis of financial markets and economic factors. Metals companies like Tata Steel, Sesa Goa and Jindal Steel & Power are some of the Index stocks which are showing the same repeated chart patterns like sharp vertical rise, small top formation, sharp vertical down fall and again sharp vertical rise in parabolic trend. Prices of these stocks has reach below 2003 levels. Fundamentals of India as changed in last 10 years. So on both ground these stocks are the best multibagger investment bet for 1-2 years horizon. One can buy with the stop loss of recent lows, for the target of life highs.

Cairn India

2013-08-26T20:37:00.003+05:30

It is forming multi years top with Head & Shoulders pattern. Now it is making right shoulder in weekly chart. In daily chart it has given breakout by closing above 314 of 15 weeks Head & Shoulders - Bottom Pattern and 5 month Ascending triangle Pattern. Trade long with stop loss of 310 for target of 349-359.

ACC

2013-08-19T21:34:00.001+05:30

It has been making Top with 14 months Head and Shoulders - Top pattern. And breakdown of 4 years trend line support. Neckline is at 1100. Pattern will be confirmed if it gives weekly closing below 1100. Target 850.

Tata Motors

2013-08-11T15:14:00.002+05:30

Auto Sector in general is showing sign of weakness, because it has fantastic run since 2009. The next leg of Nifty fall will be due to auto and cement sectors stocks. Tata Motors is on the verge of breakdown if close below 275. One can short on rise with stop loss of 310-315 for target of 255 and 205.

Copper

2013-07-27T12:58:00.002+05:30

There are three bearish patterns in Mcx- Copper.
1) 4 weeks Symmetrical Triangle. Trade short on rise with stop loss of 416 for target of 397.
2) 5 weeks Double Top, neckline at 393.
3) Completion of retracement from 455 to 366, will form double bottom near 375 to 365.