Essar ShippingKindly do your own study. This study is only for view discussion.
This stock is in momentum in higher time frame.
Monthly price is in momentum
Weekly price is in momentum
Daily- Price has given breakout above ATH level with huge volume. Look like 5th wave is pending in daily time frame. Targets are placed in chart.
Daily MACD has given uptick after down fall.
Daily RSI is reverse from 60 level
Daily ADX is strong
ESSARSHPNG trade ideas
Good Opportunity 📌Big fall from fair value
📌Consolidated base formation highlighted in yellow
📌Good spike to towards fair value
50% retracement and gets weekly EMA support marked in red. That would have been an excellent place to enter. But we failed to notice.
📌Now forming inverted H&S pattern, price is currently at 2nd shoulder. Good place to enter. Price is also getting EMA support in 4H and daily TF.
📌This pattern could push price towards 37-40 range.
📌40% gains possible in next few months.
📌Up Trend looks healthy and trustworthy.
📌Still Have strict stoploss.
Exit immediate if price traded and closes below the H&S shoulder trendline.
📌Fundamentally the share looks weak, it was weaker even before but its turning around now. Turn around recovery is ongoing but not completed, so risks are still high.
📌Recommendations
Good to buy here for a swing trade, expect 40% gains in medium term if all goes good. Have tight and strict SL.
📌For long term, good place to begin accumulating small qty. Once it gets back into its fair value, check fundamentals and financials to know if turn around is true for regular buying.