Big Bull Rakesh Jhunjhunwala has made several changes to its portfolio. In many interviews, he has explained his trading style and various strategies that traders should follow. Not only do investors admire Jhunjhunwala’s investment strategy, the trading community also respects its trading skills. Rakesh Jhunjhunwala stocks that have been in the news include Titan, Tata Motors, Escorts, and Lupine.
This is what Sumeet Bagadia, executive director of Research at Choice Broking, has to say about these stocks.
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Sumeet recommends selling titanium in cash at Rs 1408 with a stop loss of Rs 1452 and a target of Rs 1340. In the daily timeframe, Titan has formed a double-top pattern indicating a price reversal. The stock has reversed from the formation of the Middle Bollinger Band, which is showing a short-term downward movement. The price has traded below its 50-day simple moving averages, which supports the bearish trend. A momentum indicator RSI (14) & MACD experienced a correction with a negative crossover. Therefore, Sumeet expects a downward movement in the short term. The price of Titan shares closed at Rs 1407 in the last session, a decrease of Rs 27.5 or 1.9%.
Sumeet says Tata Motors is being sold in cash at Rs 323 with a stop loss of Rs 332 and a target of Rs 300. On the daily chart, Tata Motors formed the bearish engulfing candlestick pattern the previous week and a doji candlestick last week, a sign of the trend reversal. In addition, the volume of activity has decreased in the last few weeks, which indicates lower purchasing behavior. The stock has also found resistance in the formation of the upper Bollinger Band, indicating further weakness in the short term. A momentum indicator RSI (14) & Stochastic showed a negative crossover on the daily chart, indicating a bearish price movement. Tata Motors’ share price closed at Rs 323 for the last session, down Rs 10 or 3.1%.
Sumeet says you are buying Lupine for cash at 1018 with a stop loss of Rs 980 and a target of Rs 1080. On the daily chart, the stock was trading with the support of Rising Trendline and 50-day SMA levels. Additionally, the price was also trading above the Lower Bollinger Band formation with a positive crossover, indicating a bullish presence in the meter. A momentum indicator RSI (14) & Stochastic has shown good strength, which supports the short-term uptrend. Due to the above structure, Sumeet expects an upward movement in the short term. The price of Lupine stock closed at Rs 1018 on the last session, a decrease of Rs 6 or 0.6%.
On the daily chart, Escorts has formed the triple top pattern, which is a sign of a trend reversal. The stock price has moved below the Ichimoku cloud formation, indicating a downward movement in the numerator. However, the price is still hovering above the rising trendline indicating further support around Rs 1200. A momentum indicator RSI (14) and Stochastic show some weakness that could keep prices on the lower side. Due to the above structure, Sumeet therefore expects a bearish movement in the short term. The price of the Escort share closed flat at 1311 rupees for the last session.