Has Jindal Stainless finally started to shape its rally? Know more here
Jindal Stainless shares have jumped over 3% amid rising buying interest.
The year 2022 has been a bad year for Jindal Stainless Ltd (NSE Code: JSL) as the stock has plunged over 30% during the period. Led by disrupted the supply chain and rising inflationary costs, this metal stock has witnessed a strong sell-off mid-year to hit a fresh 52-week low of Rs 95 level on NSE. However, things seem to be turning around for the stock as it has witnessed a phenomenal jump of 55% from its June low in the past few weeks.
Technically, post-start-of-year turmoil, the stock has been in a steady uptrend and has retraced over 38.2% retracement level of its prior downtrend. On Tuesday, the stock jumped over 3% and registered a fresh price volume breakout. It currently trades above its short-term averages. Interestingly, volumes indicate good trading activity. The 14-period daily RSI (65.88) is in the bullish zone and shows the rising strength of the stock. The OBV is at its peak and shows strong volumetric strength. The KST and TSI indicators have a bullish stance towards this stock. The Elder Impulse system has indicated a fresh buy. In a nutshell, the stock has become technically bullish, and we can expect further upmove in the short to medium term.
Ratan Jindal-led Jindal Stainless has been expanding capacity and considering M&A to cater for the demand for its products. This midcap company has the potential to become of the top players in its industry. In its recent quarterly results, the company posted a jump of 38% YoY in revenue while its net profit grew by 5% YoY to Rs 286 crore in June 2022.
Currently, the JSL share price is trading at Rs 147 level on NSE. Considering the growth prospects and bullish bias of the stock, momentum traders and long-term investors can include it in their watchlist to track its further progress.
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