Breakout stocks of the day: Bajaj Consumer Care and Bigbloc Construction

Bajaj Consumer Care and Bigbloc Construction are identified as potential bullish stocks based on technical analysis. Both stocks have displayed promising technical patterns, including price volume support and a potential to breakout. Currently trading at Rs 241 and Rs 253 respectively, their price structures align with positive signals from technical indicators like RSI and ADX, suggesting continued upward momentum.

Bajaj Consumer Care Ltd 

Daily chart of Bajaj Consumer Care Ltd

Bajaj Consumer Care is currently displaying strong bullish momentum on the daily chart; the stock price trading with momentum with the breakout of trendline. If the stock manages to close above the 52-week high by support of the good volume, the stock price may start a strong momentum move for several trading sessions. Today’s volume highlights active buyer participation with Average daily volume today.

Wednesday’s trading session began at Rs 232 and reached a peak of Rs 249. After opening the stock has successfully surged towards the day high on the chart, indicating a potential continuation sign of the long-term uptrend.

The current stock price is under selling pressure, driven by increased volume during a particular trading session, indicating that investors are interested in up moves. In the coming time, the stock price may show momentum with strong long candles, it may set the stock up for a stronger positive trend shift, and the accumulated volume suggests further growth in the near future. The bounce from support and 200-day EMA, emphasises the stock’s effort to establish new highs.

On the RSI chart, the relative strength index is trading in the bullish zone with gaining strength, and ADX trading at 20 indicates normal directional strength, favouring normal movements on either side. In the event of a retracement, it is essential to monitor key support levels, particularly at a 50-day EMA. The minor upper resistance is at a 52-week high, and if the stock closes above the 52-week high, then the stock may consistently trade above current levels.

Bajaj Consumer Care Ltd engages in the manufacturing and marketing of cosmetics, toiletries, and other personal care products.

Bigbloc Construction Ltd 

Weekly chart of Bigbloc Construction Ltd

Bigbloc Construction’s current stock performance is characterised by a promising technical setup, trading at Rs 253.55 and has the potential to continue its strong uptrend, accompanied by a significant increase in trading in the last 2 weeks. Currently, the stock price is strongly up after the breakout of the rising channel.

Starting at Rs 222 on Wednesday, the stock reached an intraday high of Rs 261. The current upsurge of the day was notable as the volume also picked up

The stock has given the breakout and is trading at its 52-week high, indicating buying activity, at the same level volume is picking up this week with price movement. After reaching its all-time high the stock witnessed a strong uptrend and the same is anticipated in coming trading sessions, following sustained levels near Rs 220. The current market action is supported by a surge in volume on up days and dry volume on down days for the stock.

The relative strength index (RSI) recently traded in a bullish range at 78.85 suggesting the potential for a significant upward movement in the stock price is still there, particularly as it continues to trade above this level. The ADX (Daily), currently at 37, indicates strong directional strength. The level at Rs 200 serves as a crucial indicator for corrective movements afterwards, and the overall market structure favours traders if the stock consistently trades above major moving averages.

Bigbloc Construction Ltd is in the manufacturing of building blocks and aerated autoclave concrete bricks.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. The information is based on various secondary sources on the internet and is subject to change. Please consult with a financial expert before making investment decisions.