Watch Out For These Stocks As They Are Showing Signs of Weakness
September 01 2021 | Reading Time: 5 Minutes
Redington (India) Lt Stock
An outperforming stock as compared to the broader market. It has a strong Relative Strength Rating of 75. The stock is up 163.2% from a year ago as compared to 43.9% for the Nifty500.
The stock has had a good run in the last 14 weeks post its breakout from a 12-week, 28% deep Consolidation Base. The stock has gained 48% from the ideal buy point of INR 101.
The stock definitely has strong institutional support. It has seen huge institutional accumulation in the most recent quarters. The number of institutional sponsors and shares held by the sponsors, both increased in the last reported quarter.
Redington (India) Lt stock fell -4.1% this week, undercutting its 10-week moving average. It closed -3.2% below the 10-week moving average. However, the volume for the week remained below its 10-week average.
The long term support line, 40-week moving average, is still in uptrend. The stock is trading around 46.9% above the 40-week moving average.
The leading stocks often take support near its 10-week moving average. But if a stock closes below the line, that should be considered as an early sign of weakness. Closing below the line on a lower volume is okay, but staying there is not. At this point, you can monitor the stock carefully for signs of further weakness.
Dcm Shriram Stock
Dcm Shriram has been an outperforming stock as compared to the broader market. It has a strong Relative Strength Rating of 79. The stock is up 134.3% from a year ago as compared to 43.9% for the Nifty500.
The stock has had a monster run post its breakout from a 15-week, 23% deep Cup Without Handle Base. The stock has gained 114% from the ideal buy point of INR 409 in just 37 weeks.
The stock definitely has strong institutional support. It has seen huge institutional accumulation in the most recent quarters. The number of institutional sponsors and shares held by the sponsors, both increased in the last reported quarter.
Dcm Shriram stock fell -5.4% this week, undercutting its 10-week moving average. It closed -3.4% below the 10-week moving average. However, the volume for the week remained below its 10-week average.
The long term support line, 40-week moving average, is still in uptrend. The stock is trading around 41.8% above the 40-week moving average.
The leading stocks often take support near its 10-week moving average. But if a stock closes below the line, that should be considered as an early sign of weakness. Closing below the line on a lower volume is okay, but staying there is not. At this point, you can monitor the stock carefully for signs of further weakness.
Laurus Labs Stock
Laurus Labs has been an outperforming stock as compared to the broader market. It has a strong Relative Strength Rating of 78. The stock is up 183% from a year ago as compared to 43.9% for the Nifty500.
The stock has had a monster run post its break out from a 10-week, 14% deep Flat Base. The stock has gained 71% from the ideal buy point of INR 386 in just 21 weeks.
The stock definitely has strong institutional support. It has seen huge institutional accumulation in the most recent quarters. The number of institutional sponsors and shares held by the sponsors, both increased in the last reported quarter.
Laurus Labs stock fell -3.1% this week, undercutting its 10-week moving average. It closed -1.6% below the 10-week moving average. However, the volume for the week remained below its 10-week average.
The long term support line, 40-week moving average, is still in uptrend. The stock is trading around 39.4% above the 40-week moving average.
The leading stocks often take support near its 10-week moving average. But if a stock closes below the line, that should be considered as an early sign of weakness. Closing below the line on a lower volume is okay, but staying there is not. At this point, you can monitor the stock carefully for signs of further weakness.
Caplin Point Lab Stock
Most recently, the stock broke out of a 43-week, 42% deep Cup With Handle Base 12 weeks ago. The stock has gained a reasonable 13% from the ideal buy point of INR 648.
The stock definitely has strong institutional support. It has seen huge institutional accumulation in the most recent quarters. The number of institutional sponsors and shares held by the sponsors, both increased in the last reported quarter.
Caplin Point Lab stock fell -7.2% this week, undercutting its 10-week moving average. It closed -5.6% below the 10-week moving average. However, the volume for the week remained below its 10-week average.
The long term support line, 40-week moving average, is still in uptrend. The stock is trading around 25.7% above the 40-week moving average.
In a strong market, the 10-week moving average, can act as a support level for the stock. But, it can also act as a resistance level during a downtrend. At this point, if you do not have enough profit on the position, from a risk management standpoint, you may want to cut the position. If you have enough profit, you can monitor the stock carefully for signs of further weakness.
Federal Bank Stock
Federal Bank has been a laggard stock for the last one year. It has had a 28.9% move as compared to 43.9% for the Nifty500.
On the earnings front, Federal Bank has a respectable EPS Rank of 79, which is okay but needs improvement. The earnings and sales for the stock have grown by 16% and 4%, respectively over the past three years. Its 3-years earnings stability is 10, on a 0 to 99 scale (lower the better). Over the past five years, the earnings and sales for the stock have grown by 18% and 22%, respectively. The 5-years earnings stability is 9. The return on equity for the last reported year is 10%.
Federal Bank stock fell -2.4% this week, undercutting its 40-week moving average. It closed -1.7% below the 40-week moving average. However, the volume for the week remained below its 10-week average.
When a stock closes below its 40-week moving average, it may take months, even years to stage a recovery. So, a closing below the line should be considered as a weakness in a stock, at least for the intermediate term. If it is a long term leader, we manage it differently. At this point, the Federal Bank does not meet our long term leader’s trend criteria. If you do not have enough profit on the position, from a risk management standpoint, you may want to cut the position. If you are sitting on a profit, this is a time to take at least partial profit.
Equitas Holdings Ltd Stock
Equitas Holdings Ltd has been an outperforming stock as compared to the broader market. The stock is up 99.5% from a year ago as compared to 43.9% for the Nifty500.
Most recently, the stock broke out of a 13-week, 26% deep Cup With Handle Base 12 weeks ago. The stock has gained a reasonable 30% from the ideal buy point of INR 96.
Equitas Holdings Ltd stock fell -3% this week, undercutting its 10-week moving average. It closed -1.4% below the 10-week moving average. However, the volume for the week remained below its 10-week average.
The long term support line, 40-week moving average, is still in uptrend. The stock is trading around 27.5% above the 40-week moving average.
In a strong market, the 10-week moving average, can act as a support level for the stock. But, it can also act as a resistance level during a downtrend. At this point, if you do not have enough profit on the position, from a risk management standpoint, you may want to cut the position. If you have enough profit, you can monitor the stock carefully for signs of further weakness.
An outperforming stock as compared to the broader market. It has a strong Relative Strength Rating of 75. The stock is up 163.2% from a year ago as compared to 43.9% for the Nifty500.
The stock has had a good run in the last 14 weeks post its breakout from a 12-week, 28% deep Consolidation Base. The stock has gained 48% from the ideal buy point of INR 101.
The stock definitely has strong institutional support. It has seen huge institutional accumulation in the most recent quarters. The number of institutional sponsors and shares held by the sponsors, both increased in the last reported quarter.
Redington (India) Lt stock fell -4.1% this week, undercutting its 10-week moving average. It closed -3.2% below the 10-week moving average. However, the volume for the week remained below its 10-week average.
The long term support line, 40-week moving average, is still in uptrend. The stock is trading around 46.9% above the 40-week moving average.
The leading stocks often take support near its 10-week moving average. But if a stock closes below the line, that should be considered as an early sign of weakness. Closing below the line on a lower volume is okay, but staying there is not. At this point, you can monitor the stock carefully for signs of further weakness.
Dcm Shriram Stock
Dcm Shriram has been an outperforming stock as compared to the broader market. It has a strong Relative Strength Rating of 79. The stock is up 134.3% from a year ago as compared to 43.9% for the Nifty500.
The stock has had a monster run post its breakout from a 15-week, 23% deep Cup Without Handle Base. The stock has gained 114% from the ideal buy point of INR 409 in just 37 weeks.
The stock definitely has strong institutional support. It has seen huge institutional accumulation in the most recent quarters. The number of institutional sponsors and shares held by the sponsors, both increased in the last reported quarter.
Dcm Shriram stock fell -5.4% this week, undercutting its 10-week moving average. It closed -3.4% below the 10-week moving average. However, the volume for the week remained below its 10-week average.
The long term support line, 40-week moving average, is still in uptrend. The stock is trading around 41.8% above the 40-week moving average.
The leading stocks often take support near its 10-week moving average. But if a stock closes below the line, that should be considered as an early sign of weakness. Closing below the line on a lower volume is okay, but staying there is not. At this point, you can monitor the stock carefully for signs of further weakness.
Laurus Labs Stock
Laurus Labs has been an outperforming stock as compared to the broader market. It has a strong Relative Strength Rating of 78. The stock is up 183% from a year ago as compared to 43.9% for the Nifty500.
The stock has had a monster run post its break out from a 10-week, 14% deep Flat Base. The stock has gained 71% from the ideal buy point of INR 386 in just 21 weeks.
The stock definitely has strong institutional support. It has seen huge institutional accumulation in the most recent quarters. The number of institutional sponsors and shares held by the sponsors, both increased in the last reported quarter.
Laurus Labs stock fell -3.1% this week, undercutting its 10-week moving average. It closed -1.6% below the 10-week moving average. However, the volume for the week remained below its 10-week average.
The long term support line, 40-week moving average, is still in uptrend. The stock is trading around 39.4% above the 40-week moving average.
The leading stocks often take support near its 10-week moving average. But if a stock closes below the line, that should be considered as an early sign of weakness. Closing below the line on a lower volume is okay, but staying there is not. At this point, you can monitor the stock carefully for signs of further weakness.
Caplin Point Lab Stock
Most recently, the stock broke out of a 43-week, 42% deep Cup With Handle Base 12 weeks ago. The stock has gained a reasonable 13% from the ideal buy point of INR 648.
The stock definitely has strong institutional support. It has seen huge institutional accumulation in the most recent quarters. The number of institutional sponsors and shares held by the sponsors, both increased in the last reported quarter.
Caplin Point Lab stock fell -7.2% this week, undercutting its 10-week moving average. It closed -5.6% below the 10-week moving average. However, the volume for the week remained below its 10-week average.
The long term support line, 40-week moving average, is still in uptrend. The stock is trading around 25.7% above the 40-week moving average.
In a strong market, the 10-week moving average, can act as a support level for the stock. But, it can also act as a resistance level during a downtrend. At this point, if you do not have enough profit on the position, from a risk management standpoint, you may want to cut the position. If you have enough profit, you can monitor the stock carefully for signs of further weakness.
Federal Bank Stock
Federal Bank has been a laggard stock for the last one year. It has had a 28.9% move as compared to 43.9% for the Nifty500.
On the earnings front, Federal Bank has a respectable EPS Rank of 79, which is okay but needs improvement. The earnings and sales for the stock have grown by 16% and 4%, respectively over the past three years. Its 3-years earnings stability is 10, on a 0 to 99 scale (lower the better). Over the past five years, the earnings and sales for the stock have grown by 18% and 22%, respectively. The 5-years earnings stability is 9. The return on equity for the last reported year is 10%.
Federal Bank stock fell -2.4% this week, undercutting its 40-week moving average. It closed -1.7% below the 40-week moving average. However, the volume for the week remained below its 10-week average.
When a stock closes below its 40-week moving average, it may take months, even years to stage a recovery. So, a closing below the line should be considered as a weakness in a stock, at least for the intermediate term. If it is a long term leader, we manage it differently. At this point, the Federal Bank does not meet our long term leader’s trend criteria. If you do not have enough profit on the position, from a risk management standpoint, you may want to cut the position. If you are sitting on a profit, this is a time to take at least partial profit.
Equitas Holdings Ltd Stock
Equitas Holdings Ltd has been an outperforming stock as compared to the broader market. The stock is up 99.5% from a year ago as compared to 43.9% for the Nifty500.
Most recently, the stock broke out of a 13-week, 26% deep Cup With Handle Base 12 weeks ago. The stock has gained a reasonable 30% from the ideal buy point of INR 96.
Equitas Holdings Ltd stock fell -3% this week, undercutting its 10-week moving average. It closed -1.4% below the 10-week moving average. However, the volume for the week remained below its 10-week average.
The long term support line, 40-week moving average, is still in uptrend. The stock is trading around 27.5% above the 40-week moving average.
In a strong market, the 10-week moving average, can act as a support level for the stock. But, it can also act as a resistance level during a downtrend. At this point, if you do not have enough profit on the position, from a risk management standpoint, you may want to cut the position. If you have enough profit, you can monitor the stock carefully for signs of further weakness.
- Follow us :
