|Buy Range||571 – 576|
|Target||600 – 620|
|Duration||15 – 20 Trading Sessions|
|Potential Return^||4 – 8%|
|CMP#||Idea||Buy Range||Target||StopLoss*||Duration||Potential Return^|
|576.7||BUY||571 – 576||600 – 620||545||15 – 20 Trading Sessions||4 – 8%|
# CMP on March 28, 2019
* Maintain recommended StopLoss by daily closing basis.
Once 1st target hit, reset StopLoss at 588.
^ The returns are calculated based on CMP#
Headquartered in Delhi, Kajaria Ceramics is the largest tile and floor manufacturer in India having 8 operational plants and markets its products through Kajaria Eternity World, Kajaria Galaxy, Kajaria Prime Plus Showrooms and other multi-brand dealers. Its production includes ceramic wall, floor tiles, polished vitrified tiles, glazed vitrified tiles, adhesives for ceramics and sanitary ware and faucets. The company reported a standalone net profit of Rs 65.89 crore for the quarter ended December 31, 2018, compared to Rs 53.11 crore reported during the corresponding period of 2017-18.
TECHNICAL OBSERVATIONS (WEEKLY)
- We are witnessing the formation of ‘Higher Highs Higher Lows’ on a weekly scale after many months, which is a positive sign as per ‘Dow Theory’.
- After a consistent downtrend in 2018, the stock price has shifted into upside bounce in December 2018. Since then the stock is moving sharply upwards.
- Overall trend and the broader pattern are bullish and reactive throwback might be temporary in nature.
TECHNICAL OBSERVATIONS (DAILY)
- In the daily chart, last 3 candlesticks have formed bullish formation.
- Momentum indicator like the 14-week RSI has taken support at the 50 levels in the recent correction suggesting that the bulls have an upper hand in the stock.