CCL Products India soars over 5%! Click to know the target levels
The shares of CCL Products India Ltd have zoomed over 5% on June 27, 2022.
The stock of CCLPRODUCTS has soared on Monday amid strong buying interest. With this, the stock has registered a breakout from its ascending triangle pattern. Interestingly, the stock has also recorded a huge volume on Monday, which indicates strong buying at lower levels. After correcting over 35% from its lifetime high of Rs 515, the stock has shown signs of recovery. On the technical chart, the stock has formed a strong bullish candle with its open being nearly equal to its day’s low. After today’s strong price action, the stock is above its 20-DMA and 50-DMA. In one month, the stock has already gained over 7%.
Along with its bullish price structure, the technical parameters indicate strong bullishness in the stock. The 14-period daily RSI (62.79) has entered the bullish zone and is above its prior swing high. The MACD has soared above its signal line, indicating a strong upside. Meanwhile, the On Balance Volume (OBV) is also improving, suggesting good strength from volume’s point of view. The Relative Strength (RS) has moved above zero and has outperformed the broader market. Also, the Elder Impulse system indicates a fresh buy.
Applying a Fibonacci retracement to its prior downtrend, the stock has moved above its 23.8% retracement level of Rs 363. Thus, the next level to be tested is Rs 393 level, which is a 38.2% retracement level. Also, as per the price pattern breakout, the stock is expected to test the level of Rs 400, which is also its 200-DMA level. On the downside, the 50-DMA level of Rs 362 shall act as a strong support level. Interestingly, the stock provides good trading opportunities and traders expect good gains from this stock in near term.
CCL Products (India) Limited is primarily engaged in the manufacturing of instant tea and coffee. It is a Rs 5000 crore market cap company having a strong market presence.
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