BEPL - Nice breakoutHello Friends,
I hope this email finds you well. I am excited to share with you a trade opportunity that has caught my attention.
During today's session, BEPL presented a breakout scenario. The stock price had been consolidating within a range, and notable higher highs were observed in the timeframe. I entered the trade at 95, and the current market price (CMP) is 103.15.
From a technical standpoint, the breakout accompanied by significant volume is a positive indicator for the stock. I anticipate it to breach the recent high at 110, aiming for the all-time high at 145. My optimism lies in the comparatively lower resistance at 145, with the price dropping by 60% from the previous all-time high. In the past, the drop from this level was much steeper at 88%, meaning it attracts more buyers at this level. The rally from 70 levels to 110 was nice in the short term with significant volume. The second leg was range-bound between 96-87, and now this breakout.
Taking a closer look, the price movement has formed a cup and handle pattern, suggesting a potential breakout. A move above 145 opens up an optimistic target, and I am looking at 250 as the potential target for the cup and handle formation.
Disclaimer:
Trading stocks come with inherent risks, and market conditions can change rapidly. This recommendation is based on my analysis, and trading decisions should be made with caution. It is essential to conduct thorough research and consider your risk tolerance before making any financial decisions. The stock market is unpredictable, and past performance does not guarantee future results.
Always exercise your discretion and, if needed, consult with a financial advisor to ensure your investment strategy aligns with your financial goals.
