Breakout Candidates to Keep an Eye On: Bank of Baroda and Coal India

Bank of Baroda and Coal India are identified as upside potential stocks based on technical analysis. Both stocks have displayed promising structures and technical setups, including price volume action and the potential to bounce back and breakout. Currently trading at Rs 258.50 and Rs 432.05 respectively, their price aligns with positive signals from technical indicators like RSI and ADX, suggesting a breakout scenario likely in the coming time.

Bank of Baroda Ltd 

Daily chart of Bank of Baroda Ltd

On the daily chart, the Bank of Baroda is presently showing a promising picture; the stock price is moving up after taking support of the trendline. The stock price may resume its strong momentum-up in the coming trading sessions if it manages to cross and close above today’s intraday high, 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 Bank of Baroda India might purchase the stock at the present price with a stop loss of Rs 250 on a closing basis and aim to capitalize above its 52-week high.

The stock price is currently trading above its 50-day EMA, suggesting it is likely about to turn short-term bullish once more. The stock appears quite neutral when one looks at the Relative Strength Index, which is now trading at 47.81. The ADX of 22 indicates the present state of price momentum, which is moving with decent momentum.

In the event of a retracement, it is essential to monitor key support levels, particularly at Rs 245. The minor upper resistance is the 52-week high, and if the stock closes above the 52-week high consecutively, then it may consistently trade above current levels.

Bank of Baroda engages in the provision of commercial banking services.

Coal India Ltd 

The daily chart of Coal India Ltd

Coal India’s current performance is indicated by a favorable technical setup. The company’s shares are now trading at Rs 432.05 and may continue the uptrend after the bounce back from support. The stock price is currently trading slightly above the 50-day EMA.

Those interested in possible trade-in coal India could purchase the stock at the present price, setting a stop loss below the 50-day EMA at Rs 410, and aim for a target price higher than the stock’s 52-week high.

The stock is trading above its all-important moving averages, and it is expected to find support near Rs 400. The Relative Strength Index is trading near neutral levels at 48.89. This implies there may be potential for an increase in stock price strength. The ADX, which is now around 25, shows low momentum and directional strength.

The level at Rs 400 serves as a crucial indicator for corrective movement, and the overall market structure favors traders if the stock crosses and trades above the 52-week high.

Coal India Ltd. is a holding company, which engages in the production and sale of coal.

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.