Technical Picks to Keep an Eye On: Indian Hotels and Fertilizers & Chemicals Travancore

Technical analysis identifies Indian Hotels and Fertilizers & Chemicals Travancoreas upside potential stocks. Both stocks have displayed promising structures and technical setups, including price volume contraction, and the potential to bounce back and breakout. Currently trading at Rs 571.15 and Rs 701.30 respectively, their price aligns with positive signals from technical indicators like RSI and ADX, suggesting a likely breakout scenario.

Indian Hotels Co. Ltd

The daily chart of Indian Hotels Co. Ltd.

On the daily chart, Indian Hotels is presently showing a promising picture; the stock price is trading is a tight range. The stock price may resume its strong momentum-up in the coming trading sessions if it crosses and closes above the high of the last four days, with the support of decent volume compared to the current volume. Volumes are dry right now and likely to rise soon.

Those considering a possible trade in Indian Hotels might purchase the stock at the current price with a stop loss of Rs 555 on a closing basis and aim to capitalize above Rs 615.

The stock price is currently trading at a 50-day EMA, suggesting it is likely about to turn short-term bullish once more after shooting up. The stock appears quite neutral when one looks at the Relative Strength Index, which is now trading at 49.44. The ADX of 26 indicates the present state of price momentum, which is moving with a good level of momentum.

In the event of a retracement, it is essential to monitor key support levels, particularly at Rs 540. The minor upper resistance is marked on the chart and if the stock closes above 52-week high consecutively, then it may consistently trade above current levels.

Indian Hotels Co. Ltd. engages in the ownership, operation, and management of hotels, palaces, and resorts.

Fertilizers & Chemicals Travancore Ltd

The daily chart of Fertilizers & Chemicals Travancore Ltd

Fertilizers & Chemicals Travancore Ltd’s current performance is indicated by a favorable technical setup. The company’s shares are now trading at Rs 701.30 and may continue the uptrend from the current level if breakouts the upper resistance marked on the chart. The stock price is currently trading slightly above the 50-day EMA.

Those interested in possible trade in Fertilizers & Chemicals Travancore could purchase the stock at the present price, setting a stop loss below the 50-day EMA at Rs 663, and aim for a target price higher than the level of Rs 840.

The stock is trading around its all-important moving averages, and it is expected breakout from current consolidation. The Relative Strength Index is trading near neutral levels at 54.59. This implies there may be potential for an increase in stock price strength. The ADX, now around 13, shows low momentum and directional strength.

The level of Rs 625 serves as a crucial indicator for corrective movement, and the overall market structure favors traders if the stock sustains the level of Rs 746 and trades above it.

Fertilizers & Chemicals Travancore Ltd. engages in the manufacture and supply of fertilizers and petrochemicals.

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.