Breakout stocks of the day: Suryoday Small Finance Bank and Borosil Renewables

With price volume support, Suryoday Small Finance Bank and Borosil Renewables have strong bullish breakout potential. The stock price has displayed a symmetrical triangle and rounding bottom chart pattern breakout and is presently trading at Rs 172 and Rs 500. The breakout corresponds to the RSI, ADX, and other technical analysis indicators.

Suryoday Small Finance Bank Ltd  

Dailly chart of Suryoday Small Finance Bank Ltd 

Shares of Suryoday Small Finance Bank are currently trading with a strong daily bullish candle and an inverted head & shoulder breakout. Buyers are active in this stock as the setup is clean, today’s daily volume spiked to the 6-month high to sustain this breakout.

The stock opened at Rs 161 on Monday, touched its day low at Rs 160, then surged to a day high of Rs 176 (at the time of writing). The stock has been in consolidation for the last 3 months and has broken over the upper trendline of the pattern, indicating a trend reversal.

The price of Suryoday Small Finance Bank is trading above its prior highs with impetus after a breakout with volume increase. With its breakout, it is poised to start a new positive trend. The stock volume accumulated from a few days back is more than enough to sustain the price momentum, and it is expected to grow further shortly because the setup appears to be great. The stock price has bounced from its 200-day exponential moving average, indicating that it is striving to set new highs. Today, the stock price showed sustenance of a symmetrical triangle breakout, allowing the stock to trade higher.

The relative strength index has now entered the 65-80 range, indicating that the stock price may rise further. The ADX is very strong at the level of 18, which indicates the directional strength is not much but may turn higher in the coming time as the stock picks the momentum.

In the case of a lower-side retracement, the major support level to watch for during any corrective swings is 200-day EMA. 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.

Suryoday Small Finance Bank Ltd is engaged in the provision of commercial banking and microfinance services.

Borosil Renewables Ltd  

Dailly chart of Borosil Renewables Ltd  

Borosil Renewables’ stock is trading with a strong green daily candle and on the verge of a breakout of the rounding bottom chart pattern with a volume spike today.

On Tuesday, the stock began at Rs 468, then made an intraday high of Rs 508 (at the time of writing). The stock has been in a formation of the pattern for the last 4 months.

Borosil Renewables has confirmed the formation of a rounding bottom and is about to breakout. The stock is trading above the 200-day EMA and may show a quick jump to breakout after today’s sustenance again. The stock price saw a price volume breakout today, which was accompanied by a volume rise bigger than the ordinary trading day volume.

The relative strength index has also into the 65-80 range, indicating that the stock price may begin to rise sharply soon as it crosses the level of 80. The ADX is very strong at the level of 25, which indicates the directional strength is higher to continue the uptrend which started from the bottom.

The 200-day EMA 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.

Borosil Renewables Ltd is engaged in the manufacture and sale of solar glass.

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.