Updated: Aug 29, 2021
The daily chart of Mothersumi is showing the beginning of a new uptrend on the daily chart. Signs of accumulation are evident. The image below highlights the same.
This is a very basic set-up often observed at the beginning of a strong uptrend. The big cats are buying the stock and hence the swell in volumes.
Mothersumi was an all time favourite of investors until the dawn of Electric vehicles brought its twilight. The stock has corrected almost 60% over the past 18 months from the high of Rs. 260. Currently, the first resistance lies at level Rs.128. A sustained closing above this level would mean a confirmation of the uptrend trend. Accumulating the stock at this level is an opportunity rarely spotted!
Another positive is my favourite RSI positive divergence at the bottom. It is evident in the above chat (not highlighted) that when the price marked the low of Rs. 113, the RSI did not forge a corresponding low but took a support at the level of 30 indication a positive underlying momentum. This combination of positive divergence in RSI and accumulation in volume is a pretty sure shot way of identifying stocks in the early stage of an uptrend.
Mothersumi is a great company with a top class management team. Following this article I will continue to share the news updates and subtle changes which reinforce/oppose this bullish view.
Stay tuned for more updates on potential rally stocks. Choose the platform you use the most and follow the link to follow Let\’s get Technical on the go!
Also, join my FB group! https://www.facebook.com/groups/250550478994070/
stock market blogstock market blogspotstock market blogsstock market blogs in indiablog on stock marketstock market blogs india indian stock market technical analysis blogbest blog for stock marketbest stock market blogstock market live blogfree stock market tips blogspot
stock market analysis blog stock market news blog stock market crash blog us stock market blogstock market technical analysis blog stock market tips blogspotstock market today blog
stock market blog sitesaustralian stock market investing blogwhat are the stock market namesfree stock market blogstock market tips blogsingapore stock market blog
best stock market analysis blogcnbc stock market blogstock market blog names
stock market blogs for beginners stock market blogs redditblog for stock market
blog about stock marketstock market blogs websitesstock market investing blog
stock market basics blogdaily stock market blog cnbc stock market live blog
stock market investment philippines blog stock market beginner blog what are some blog topics us stock market live bloghow to create stock market blogstock market hindi blog
stock market blog topicsstock market predictions blogstock market mind games blogspot
reddit stock market blogstock market astrology blogspotstock market blogger template
colombo stock market blogstock market for beginners blog