Portfolio

Sizzling Stocks- TTK Prestige (Rs 3,313.9)

YOGANAND D. | Updated on October 13, 2012 Published on October 13, 2012

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The stock tumbled 9.5 per cent on Friday, following the company’s second quarter of FY-13 results announcement. The company reported 12 per cent decline in net profit over the same period a year ago, though sales increased by 10.5 per cent. For the week the stock has plunged 11 per cent with good volume.

The stock has been on sideways consolidation phase since early July this year, in the band between Rs 3,150 and Rs 3,950. Its recent fall has breached both 21- and 50-day moving averages.

However, the stock is nearing its lower boundary, which is a significant long-term support. Further, 200-day moving average is hovering around the lower boundary. Only a strong fall below the lower boundary will reinforce selling pressure and the stock can decline to Rs 2800-Rs 2700 support range in the medium-term.

Next important support is positioned around Rs 2,300 levels. On the other hand, upward reversal from the lower boundary will make the stock encounter resistances at Rs 3,500 and then at Rs 3,700. Next key resistance is at Rs 3,950 levels.

Unitech (Rs 26.3)

Unitech was very volatile last week as it fell 9.4 per cent in the initial three sessions and skyrocketed 17 per cent on Thursday following the announcement to settle all disputes with Telenor over its telecom business Unitech wireless (Uninor).

The stock settled with moderate gain of 3 per cent with increased volume the last week. Since bottoming out Rs 18.5 in early September 2012, the stock has been on short-term uptrend. It is now testing significant resistance at Rs 27. A strong breakthrough of this resistance will push the stock higher to Rs 30-32.5. A decisive rally above Rs 32.5 will take the stock higher to Rs 37 in the medium-term. Nevertheless, failure to surpass the current resistance will pull the stock down to Rs 24 or Rs 23 in the near-term. An emphatic decline below Rs 23 will mitigate the stock's current uptrend and pull it down to Rs 20.5 or Rs 19 in the same time-frame.

Published on October 13, 2012
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