NSE:YUKEN...about to breach the trendline?
Updated
Yuken India Ltd. (NSE:YUKEN) has recently been consolidating below a key descending trendline for a bullish breakout above a significant resistance level, suggesting potential for further upward momentum in the stock price if the trendline is broken. This breakout when supported by technical indicators and price action, will be indicating favorable prospects for the stock.
Resistance Breakout:
In addition to the trendline breakout, YUKEN is about to breach a crucial horizontal resistance level at ₹1285. This level is acting as a strong barrier, but the recent price action suggests bullish strength and potential breakout.
Volume Confirmation:
The volume has considerably dried up suggesting a volume contraction and the expansion is immediate which will also support the possible breakout.
Potential Trade Setup:
Entry Point: Consider entering the trade after a confirmed breakout above the ₹1285 level.
Stop Loss: Place a stop loss below the recent swing low at ₹1149 to manage initial risk and trailing thereafter.
Target Levels: Potential targets could be set as follows:
Target 1: ₹1334
Target 2: ₹1377
Target 3: ₹1425
Target 4: ₹1543
Target 5: ₹1604
Target 6: ₹1641
Target 7: ₹1692
RSI Analysis:
The Relative Strength Index (RSI) is currently trending upwards, indicating increasing buying pressure. With the RSI just crossed past the mid level mark, there may be room for further upward movement in the stock price.
Moving Averages:
YUKEN is trading above its 50-day and 200-day moving averages, which supports the bullish sentiment. The 50-day moving average is also trending above the 200-day moving average, reinforcing the bullish outlook (Golden Cross).
MACD Analysis:
The Moving Average Convergence Divergence (MACD) indicator shows a bullish crossover, with the MACD line crossing above the signal line. This crossover suggests bullish momentum and potential for higher prices in the near term.
Disclaimer:
This analysis is for informational purposes only and does not constitute investment advice. Trading stocks and other financial instruments involves risk and can result in financial loss. Past performance is not indicative of future results. Always conduct your own research or consult with a professional financial advisor before making any investment decisions.
Resistance Breakout:
In addition to the trendline breakout, YUKEN is about to breach a crucial horizontal resistance level at ₹1285. This level is acting as a strong barrier, but the recent price action suggests bullish strength and potential breakout.
Volume Confirmation:
The volume has considerably dried up suggesting a volume contraction and the expansion is immediate which will also support the possible breakout.
Potential Trade Setup:
Entry Point: Consider entering the trade after a confirmed breakout above the ₹1285 level.
Stop Loss: Place a stop loss below the recent swing low at ₹1149 to manage initial risk and trailing thereafter.
Target Levels: Potential targets could be set as follows:
Target 1: ₹1334
Target 2: ₹1377
Target 3: ₹1425
Target 4: ₹1543
Target 5: ₹1604
Target 6: ₹1641
Target 7: ₹1692
RSI Analysis:
The Relative Strength Index (RSI) is currently trending upwards, indicating increasing buying pressure. With the RSI just crossed past the mid level mark, there may be room for further upward movement in the stock price.
Moving Averages:
YUKEN is trading above its 50-day and 200-day moving averages, which supports the bullish sentiment. The 50-day moving average is also trending above the 200-day moving average, reinforcing the bullish outlook (Golden Cross).
MACD Analysis:
The Moving Average Convergence Divergence (MACD) indicator shows a bullish crossover, with the MACD line crossing above the signal line. This crossover suggests bullish momentum and potential for higher prices in the near term.
Disclaimer:
This analysis is for informational purposes only and does not constitute investment advice. Trading stocks and other financial instruments involves risk and can result in financial loss. Past performance is not indicative of future results. Always conduct your own research or consult with a professional financial advisor before making any investment decisions.
Trade active
The trade seems to be active...trendline breakout:Disclaimer:
This analysis is for informational purposes only and does not constitute investment advice. Trading stocks and other financial instruments involves risk and can result in financial loss. Past performance is not indicative of future results. Always conduct your own research or consult with a professional financial advisor before making any investment decisions.
Disclaimer
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