Breakout stocks of the day: Graphite India and Pitti Engineering

Graphite India and Pitti Engineering 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 595.30 and Rs 727.60, respectively, their price structures align with positive signals from technical indicators like RSI and ADX, suggesting continued upward momentum.

Graphite India Ltd 

Daily chart of Graphite India Ltd

Graphite India is currently displaying strong bullish momentum on the daily chart; the stock price trading with momentum with a bounce back from the 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.

Thursday’s trading session began at Rs 551 and reached a peak of Rs 605. 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 trading with a stronger uptrend, 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 as it is bouncing from the 50-day EMA as well, it may set the stock up for a stronger positive trend shift, and the accumulated volume suggests further growth soon.

On the RSI chart, the relative strength index is trading in the bullish zone with gaining strength, and ADX trading at 28 indicates normal directional strength, favouring normal movements in 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.

Graphite India Ltd. engages in the manufacture and marketing of graphite and carbon.

Pitti Engineering Ltd 

Daily chart Pitti Engineering Ltd

Pitti Engineering’s current stock performance is characterised by a promising technical setup, trading at Rs 727.60 and has the potential to continue its strong uptrend, accompanied by a significant increase in trading in the last 3 days. Currently, the stock price is strongly up after the breakout of the consolidation of the base.

Starting at Rs 682 on Wednesday, the stock reached an intraday high of Rs 737. The current upsurge of the day was notable as the volume also picked up

The stock has given the breakout and is trading near 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 may witness a strong uptrend and the same is anticipated in coming trading sessions, following sustained levels near Rs 750. 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 66.69 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 18, indicates low directional strength. The level at the 50-day EMA serves as a crucial indicator for corrective movements after, and the overall market structure favours traders if the stock consistently trades above major moving averages.

Pitti Engineering Ltd is in the provision of electrical tooling, stampings, and machining.

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.