Weekly Breakouts 3rd June 2022

Technical charts give a sense of what is the likely future direction of any stock. The charts are assumed to capture the news and events and factor these in the price. One of the most common ways of identifying stocks with potential upside is reading charts and identifying the trends and price movements. Growing volumes with price breakout indicate greater investor interest and signs of further upward movement in the short to midterm.

This week saw the Nifty 50 closing 1.4% higher than last week, continuing the uptrend after a over last two weeks. Some stocks have given a positive breakout as the markets started moving higher. Based on a software programme, we have identified stocks that have given a ‘breakout’ on the week ending 3^rd June 2022.

Credit Access Grameen

Credit Access Grameen s one of the leading Microfinance NBFCs in India with high focus on group lending and retail finance with majority of its operations in South India. After witnessing a covid-induced slump for two years, the microfinance industry is poised for a cyclical upturn with new RBI norms providing further ballast to and a level playing field for NBFC MFIs.

The charts also reflect that it is poised for a further up move in the short to medium term.

Credit Access Grameen breaks out of range between 900 and 1050 closing at 1081 this week with 2.1 X volumes

Elecon

Elecon Engineering Company is an Indian multinational company headquartered in Anand, Gujarat. The company has its specialization in the manufacturing sector of industrial equipment. Elecon is one of the largest Asian manufacturers of material handling equipment, industrial gear systems and mining equipment.

The growth is infrastructure projects is creating demand for their equipment which seems to be factored in the charts.The chart indicates that upside of 20% is possible over the one to two months.

Elecon breakouts out of a six month range with 2.4 X volumes and crosses a price barrier of 220

KEI Industries

KEI manufactures high and low tension cables (EHV, HT & LT), control and instrumentation cables, house wires and stainless steel wires. It is one of the select companies in the country to manufacture speciality cables. It is also market leader in wires and cables in India.

The chart of KEI Industries has been in an uptrend for more than a year and the breakout confirms that the uptrend is likely to continue and the stock reaching newer highs with every upmove.

KEI Industries continues its uptrend & breaks out with 3 X volumes closing at an all time high of 1299

Rolex Rings

Based at Rajkot(Gujarat) India, Rolex Rings is among the leading manufacturers of forged and machined components in India. It is an ace development partner manufacturing high-quality, world-class, customized automotive components as well as bearing rings for a huge base of clientele spread across the globe.

It got listed on the stock exchanges in November 2021, and after moving sideways since then it has given a significant breakout this week and this may be the start of an uptrend for this stock.

Rolex Rings gives a large breakout seven months after listing with 2.1 X volumes

Voltamp Transformers

Voltamp Transformers was established in 1963 in Vadodara. The Company has installed facility to manufacture oil filled power and distribution transformers.

The chart has been in an uptrend forming higher highs and higher lows over the last one and half year. The stock traded in a range over last six months but broke out this week to an all time high price of 2537. It is likely to head higher in the short term continuing the uptrend.

Voltamp Transformers breaks out of a six month range and continues its uptrend

About the Author

Ketan Sonalkar (SEBI Rgn No INA000011255)

Ketan Sonalkar is a certified SEBI registered investment advisor and head of research at Univest. He is one of the finest financial trainers, with a track record of having trained more than 2000 people in offline and online models. He serves as a consultant advisor to leading fintech and financial data firms. He has over 15 years of working experience in the finance field. He runs Advisory Services for Direct Equities and Personal Finance Transformation.

Note – This channel is for educational and training purpose only & any stock mentioned here should not be taken as a tip/recommendation/advice

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