ACC Limited - Technical Analysis - 9/22/2016Is it time to be bullish on cement companies? Fundamentally yes but technically no. And when both differ, always side with technical picture because price action is the ultimate truth no matter what we believe. Besides this stock has tendency to big jumps and subsequent drops of equal measure. India is undergoing construction boom and at this point it looks like all good news have been priced in. So further gains will be very hard fought. If general equity market becomes toppy then these stalwarts will topple quickly.
1500 looks good support for near term but the way ACC moves, that may not be a reliable support to lean against. We would like to mention one thing is that ACC is kind of traders stock. For quick trading, this stock suits well. So for buy and forget kind of person it may hurt but if you are quick and professional, 1450 / 1500 will also provide quick trades. Then comes 1100 / 1200 zone.
Of course to uninitiated, the levels looks too far but well, in trading equities we need to be patient and wait for our edge rather than chasing it. It may take months before the price comes to your level but there is no substitute !
If you scroll the blog you will find many examples !
