Breakout stocks of the day: SEAMEC and Chambal Fertilizers

With price volume support, SEAMEC and Chambal Fertilizers are strong positive breakout candidates. The stock price, which is currently trading at Rs 1062 and Rs 373, has given a breakout of range and supply zone respectively. The RSI, ADX, and other technical analysis parameters are in harmony with the breakout.

SEAMEC Ltd

Daily chart of SEAMEC Ltd 

SEAMEC’s stock is currently trading with a strong bullish candle and a robust range breakout. Because buyers were ready to invest in this company, today’s daily volume spiked to the all-time high.

The stock opened at Rs 960 on Friday, traded at an intraday low of Rs 955, then surged to a day high of Rs 1,106. The stock has been in consolidation or a range for the last 4 weeks and has broken over upper resistance, indicating a trend continuation.

The price of SEAMEC has smashed the 52-week high with impetus after a breakout with volume increase. With its breakout, it is poised to continue the positive trend. The stock volume has reached to its all-time high, and it is expected to grow further in the near future because the setup appears to be great. The stock price has bounced from its 20-day moving average, indicating that it is striving to set new highs. Today, the stock price had a price volume breakout, allowing this breakout to trade higher.

The relative strength index has now entered the 65-80 range again, indicating that the stock price may rise further.

In the case of a lower-side retracement, the major support level to watch for during any corrective swings is Rs 935. The stock price might reach a high of Rs 1,268 as a target. The overall structure remains favourable for traders, as the stock continues to move above all of its important moving averages, indicating a long-term upward trend.

In a half year, the stock has returned 54.40%.

SEAMEC Ltd. engages in the provision of marine, construction, and diving services to offshore oilfields.

Chambal Fertilizers & Chemicals Ltd

Weekly chart of Chambal Fertilizers & Chemicals Ltd  

Chambal Fertilizers & Chemicals’ stock is trading with a green weekly candle and is on the verge of breaking out of the strong supply zone with volume higher-than-average volume.

On Friday, the stock began at Rs 382, then fell to an intraday low of Rs 371. The stock has been uptrend for the last 7 weeks.

Chambal Fertilisers & Chemicals is near to the breakout of supply zone, which would continue the bullish trend. The stock is trading near its old lower high and may consolidate for a period of time after breaking out. The stock price saw a price volume breakout on Thursday, which was accompanied by a volume rise bigger than the daily average.

The relative strength index has also into the 65-80 range, indicating that the stock price may begin to rise sharply in the near future as it crosses the level of 80. The ADX indicator line is rising and is now trading at 38 (daily basis), indicating that directional strength is on higher side. The stock price is also following moving average levels, giving breakout from the 50-day EMA.

The Rs 320 is the fundamental support level to watch for during any corrective movements. The overall structure remains favourable for traders, with the stock trading above all of its major moving averages.

The stock returned 37.12% of its gains in six months.

Chambal Fertilisers & Chemicals Ltd. is a holding company, which engages in the manufacture and sale of fertilizer products.

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.