Trent registers a strong price volume breakout from its triangle pattern; what does it mean for the traders?

Trent registers a strong price volume breakout from its triangle pattern; what does it mean for the traders?

by 5paisa Research Team Last Updated: Dec 16, 2022 - 07:30 am 11.5k Views
Listen icon

The apparel-retail stock has zoomed over 4% on Monday.

The broader market opened positively amid good global market sentiment. Fresh buying interest has been observed in quality stocks which are at attractive valuations. One such stock is Trent, which has surged over 4% during Monday’s trading session.

Technically, it has registered a strong price volume breakout from its triangle pattern. Such a breakout is considered strongly bullish over the medium term. With this, it has hit a fresh all-time high level of Rs 1541.80 on NSE. The volume recorded happens to be greater than the 10-day, 30-day and 50-day average volume. The breakout is supported by a rising 14-period daily RSI (69.01) which exhibits strong strength in the stock. The MACD had indicated a bullish crossover last week. The OBV is on a rise and shows high buying activity. The ADX also points upwards and shows rising trend strength. The Elder Impulse system has indicated a fresh buy. The TSI and KST indicators demonstrate bullishness. Currently, the stock is about 7% above its 50-DMA and about 26% above its 200-DMA. Overall, the stock is expected to trade higher given such positivity.

On a YTD basis, the stock has jumped 42% and outperformed most of its peers. It is likely to continue its bullish run and momentum traders can take advantage of this.

Good corporate earnings and positive MD&A have fuelled growth prospects in the stock. With the company being fundamentally sound, long-term investors can consider including it in their watchlist to track its further development.

Trent Ltd is a part of the Tata Group and is engaged in the business of retailing which offers clothes, footwear and accessories along with furnishings, artefacts and a range of home accessories at low prices to value-conscious customers in towns across India. With a market capitalisation of about Rs 54000 crore, it is one of the strongest players in its industry.

Share Market Today


How do you rate this article?

Start Investing in 5 mins*

Rs. 20 Flat Per Order | 0% Brokerage

378X91-D3

About the Author

Our research team is composed of some highly qualified research professionals, their expertise range across sectors.

Disclaimer

Investment/Trading in securities Market is subject to market risk, past performance is not a guarantee of future performance. The risk of loss in trading and investment in Securities markets including Equites and Derivatives can be substantial.
Enjoy 0%* Brokerage with 5paisa
Resend OTP
Please Enter OTP
Mobile No. belongs to

By proceeding, you agree to the T&C.

Latest News
Trust Fintech IPO Subscribed 108.63 times

Trust Fintech IPO is book-built issue of ₹63.45 crores, consisting entirely of fresh issue shares totalling 62.82 lakh. Trust Fintech IPO commenced its subscription period on March 26, 2024, & concludes today, March 28, 2024.

Aspire & Innovative IPO Subscribed 15.17 times

Aspire & Innovative IPO is a book built issue of Rs 21.97 crores. The issue comprises entirely a fresh issue of 40.68 lakh shares. Aspire & Innovative IPO opens for subscription on March 26, 2024, and closes on March 28, 2024. The allotment for the Aspire & Innovative IPO is expected to be finalized on Monday, April 1, 2024.

Blue Pebble IPO Subscribed 56.32 times

Blue Pebble IPO, valued at ₹18.14 crores, comprises fresh issue of 10.8 lakh shares. Commencing subscription on March 26, 2024, Blue Pebble IPO is set to conclude on March 28, 2024. Allotment process is scheduled to be finalized by Monday, April 1, 2024. Following this, IPO is slated to debut on NSE SME, with tentative listing date of Wednesday, April 3, 2024.