Top trending stock: Gujarat State Fertilizers and Chemicals
The stock has not seen a major downtrend despite strong negative market sentiment.
Gujarat State Fertilizers and Chemicals Limited is engaged in the development of crop nutrition solutions and operates in fertilizers products and industrial products. With a market capitalization of about Rs 5000 crore, it is one of the promising company in its sector.
The stock has displayed strong bullishness today and has surged over 3.5% in Monday’s trading session. With this, it has crossed over its previous day’s high of Rs 131.40. After opening with a slight gap-down, the stock soon recovered and has gained nearly 7% since its intraday low. It took support at its 50-DMA and 100-DMA and has soared higher thereafter. On a weekly chart, the stock is seen trading in a triangle pattern, whose breakout lies in the range of Rs 135-136 levels.
Interestingly, the stock has not seen a major downtrend despite strong negative market sentiment. As a matter of fact, the stock has gained over 7% since the beginning of the year and has outperformed most of its peers during the period. Moreover, the technical analysis indicates strong performance. It currently trades above all the key short term and long term moving averages. Along with this, the 14-period daily RSI is on a rise and is placed just below 60. Interestingly, the daily MACD has given a bullish crossover today. The Elder Impulse System, too, indicates a strong bullish nature of the stock. The other momentum oscillators and technical indicators also point towards the strong uptrend of the stock. To validate this technical view, the stock has seen a surge in volume, which happens to be greater than the 10-day and 30-day average volume. Overall, the stock possesses strong internal strength and resilience to market fluctuations.
Considering its ongoing bullishness, the stock has the potential to test the level of Rs 135, followed by Rs 140, which happens to be major resistance. Thus, the stock is expected to trade higher in upcoming days.
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