Stocks priced under Rs 20 with dragonfly doji pattern and potential upside
The Indian stock market has been trying to regain all of the lost momentum and has scaled back after seeing a bottom at about 15% below the peak level attained a few times over the last twelve months. With the rally on Monday, the benchmark indices are just 4% below the all-time high.
Investors who bank on technical analysis or patterns in the price and volume movements of a stock typically use candlestick charts or use it along with other parameters to predict price movements of stocks in the future.
One such parameter is the ‘dragonfly doji’, a Japanese candlestick pattern which hints at the possibility of a trend reversal. On the candlestick chart it has a ‘T’ shape due to a trading day that starts with a decline and then a reversal to close right near the opening price.
If we twine it with a bearish trend like the market has behaved in the recent past it could suggest some stocks that could see an uptick.
If we apply this to all the stocks, we get a set of 95 companies. Of these there are just one large cap: tyremaker MRF and one mid-cap: Anupam Rasayan. Rest all are small and microcap firms with many being penny stocks.
Filtering them further for penny stocks that are priced less than Rs 20 a share and have a market value less than Rs 25 crore we have around 38 companies.
These include names like K-Lifestyle, Shekhawati Poly Yarn, Sun Retail, Antarctica, Radaan Mediaworks, Tricom Fruit Prod, Galada Power, Sri Havisha Hospital, Silver Oak Commercial, Hi-Tech Winding, Mauria Udyog and Uttam Galva Steels.
Others in the pack include Madhusudan Sec, KMF Builders, Hasti Finance, RLF, Shree Hanuman Sugar, Creative Eye, Premier Capital, Velan Hotels, Super Tannery, Rich Universe, Mahalaxmi Seamless, Ozone World, Nihar Info Global, Aananda Lakshmi, Shree Karthik Papers, Helpage Finlease, Tine Agro, Coral Newsprints, NEO Infracon, Southern Infosys, Shree Krishna Paper, Lippi Systems, Cosyn, MPDL and NMS Resources.
One company is shaking things up in the ecommerce space. And that isn’t a flashy VC backed start-up. It's a company backed by the Indian government. I am talking about Open Network for Digital Commerce (ONDC). It has recorded a whopping 5.5 million transactions in December – its highest monthly figure since its inception. To put this into perspective, in January of the previous year, ONDC had only logged 2,000 orders.
- Feb 23, 2024Read More
What Platinum Industries Limited do? Platinum Industries Limited is stabilizer-producing firm that was founded in August 2016. firm produces lubricants, CPVC additives, & PVC stabilizers. Products from firm are utilized in packaging materials, rigid PVC foam boards, SPC floor tiles, electrical wires & cables, PVC fittings, PVC pipes, & more. Situated in Palghar, Maharashtra, company's production facility has 21,000 square feet of land.
- Feb 23, 2024Read More