identify the right pick
Emco Ltd Rechristened as Emco Ltd, the company's scrip scaled up Rs 300 during the unprecedented stock market boom in 2007-08. However, it however...
Emco Ltd Rechristened as Emco Ltd, the company's scrip scaled up Rs 300 during the unprecedented stock market boom in 2007-08. However, it however fell significantly when the tide turned extremely bearish from their all-time highs. The share which reached Rs 330 in 2008-09 ultimately fell to a nine years low of Rs 17.10 a week before the last. After falling to this nine years low, the share rallied up to Rs 21.50 and met with increased selling due to profit-taking and registered a price of Rs 18.55 as on Wednesday last week. Thus a higher bottom was established that attracted buying which helped it to stage a strong up move sending its market quote to as high as Rs 23.15 before closing at Rs 23.00 as on Friday of the last week when the markets witnessed a huge 300 points' fall. Thus the share has displayed a distinct strength against the general weakness and thereby indicated its candidature for being selected as a good short term to medium term pick. Elder Pharma Elder Pharma, a midcap pharma company, reached a low of Rs 273 in September, 2012, when hammered down by the general downtrend in the markets. The share then rallied swiftly and strongly, up to a high of Rs 474 in early December that year, took only about a month to reach the level. Such a huge jump in such a short period attracted selling in the nature of profit-taking. And, it started to losing but at a much lesser pace than the pace it showed during the climb in November last year. However, for a fall from Rs 473 to Rs 280.10 it took more than four months. Thus the share displayed strong under currents even while falling to the recent low of Rs 280.10. Besides, the tough fall from Rs 471, a level that it reached after bottoming out at Rs 273, did not erase the entire gain and solicited buying support at a higher bottom at Rs 280.10 which was a technical message to the followers of technical signals. Such buying support lifted the share from the latest bottom and sent significantly up with the last day's surge being the most sharp. The share when closed at Rs 360.35 after hitting a high of Rs 371.60 on Friday closed above an upper line of a down going channel as drawn on its chart which, in technical jargon being one of the most strong bullish break-outs, can take the share further up, provided the markets do not meet with yet another bad news. The share is suggested to be picked up for medium term investing.
14 Dec 2019 1:58 PM GMT