19.09.11 – In correction told to buy Fertilisers, Pharma and Paper and a long term Power stocks
Dr Reddy: What an impressive turnaround
Dr Reddy stock has been trading between 1480 and 1700 since the start of 2011. But it all changed on August 18 when stock broke down below 1480. The good news: On Friday, Sep 16 – the stock turned around and managed an impressive rally above 1480. Technically, the stock is back in 1480-1700 range.
Glenmark: Making a move after a long time
Glenmark did a technical turnaround at 310 about 2 months back but stock somehow got stuck between 310 and 324. On Friday, the stock managed an impressive move above 324. It means stock is in motion now
Ranbaxy: Last Minute turnaround
The above chart clearly tells us that what we witnessed on Friday was a sectoral turnaround. Look at how Ranbaxy rallied in last 40 minutes of the trade.
Lupin: The stock to watch this week
Lupin needs to breakout above 484-488 range to make a strong move up to 520+
As you can see in the chart above: the breakout above 484-488 will lead to strong momentum buying in the stock in short term. Even a 5-day chart looks interestingly poised for strong upside breakout.
Stocks of the same sector move together. Most of the frontline Pharma stocks made an impressive move on Friday setting the sector and stocks up for this week. Hence, these are the stocks one should keep on its trading radar.