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What is the long-term technical outlook for Rajesh Exports?
Rahul Rameshlal Bora
Rajesh Exports (₹288): The stock has been in a strong downtrend since February last year. The share price has been consolidating between ₹260 and ₹335 since mid-March this year. The overall downtrend is intact. There is no sign of a reversal. Resistances are at ₹335 and ₹375. As long as the stock stays below these resistances, the chances are high for the share price to fall further. A break below ₹260 can drag Rajesh Exports share price down to ₹170-160.
This region around ₹160 is a strong long-term trend support line which can halt the downtrend. From a long-term perspective, a strong bounce from around ₹170-₹160 can take the stock up to ₹380 and ₹450, initially. A further break above ₹450 will then clear the way for a revisit of ₹1,000 level. But this will be a multi-year rally. If you intend to buy the shares of Rajesh Exports, then you will have to wait for a fall to ₹170.
I have shares of Mazagon Dock Shipbuilders. My purchase price is ₹4,450. What is the technical outlook for this stock? Can I continue to hold it or exit now?
T Selvam, Nagercoil
Mazagon Dock Shipbuilders (₹4,191): After skyrocketing over 200 per cent in just four months from April this year, the stock peaked at ₹5,859 in July. From there the share price has corrected over 25 per cent. A crucial support is around ₹4,000. The stock has to sustain above this support in order to keep the uptrend intact. A decisive break below ₹4,000 will see Mazagon Dock Shipbuilders share price tumbling towards ₹3,000 in the coming months.
On the other hand, a bounce from around ₹4,000 and a subsequent rise past ₹4,600 will indicate that the uptrend is intact. If that happens, then the stock can rise to ₹7,000-7,100 in the next few quarters. If you have the risk-appetite, keep a stop-loss at ₹3,970 and hold the stock. Move the stop-loss up to ₹4,550 when the price goes up to ₹4,750. Move the stop-loss further up to ₹5,850 when the price moves up to ₹6,400. Exit the stock at ₹6,900. If the stock declines below ₹4,000, adhere to stop-loss and exit.
I have bought Mishtann Foods shares at ₹16.55. What is the long-term outlook?
Subith, Kochi
Mishtann Foods (₹14.7): The stock has been in a gradual uptrend since June 2021 with intermediate deep corrections. The share price touched a high of ₹26.35 in February this year and has been coming down since then. Immediate support is at ₹13.80. A break below it can take Mishtann Foods share price down to ₹11-10.60 in the coming months. The region between ₹11 and ₹10.60 is a strong support zone where the current fall can halt.
A fresh rally from this support zone will have the potential to take the share price up to ₹30 over the long-term. If you have the patience to hold this stock for a year or so, then buy more at ₹11.20 and ₹10.80. Keep a stop-loss at ₹9.20. Move the stop-loss up to ₹14.50 when the share price moves up to ₹20. Move the stop-loss further up to ₹23 when the price touches ₹26. Exit the stock at ₹29. As mentioned above, you need to have patience if you decide to hold the stock and follow the above-mentioned strategy for a rally to ₹30.
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