Price pattern of Govind Rubber was forming a rounding bottom for two years and it is broken this week with high volume indicating bullishness of the stock. Prveious resistance 34.5 is broken with high volume after two years. The rounding bottom or saucer bottom is a long term reversal pattern which indicates a shift from the downtrend to an uptrend. This pattern forming in the weekly chart indicates this script is turning from bearish to bullish . When buyers enter the market at a low price, it increases the demand for the stock . Once the rounding bottom is complete, the stock breaks out and will continue the uptrend. I expect this stock to gain 5 to 10 points in 6 months to one year.
Trade active
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From 35.35 to 37 in few days
Comments
GRINDELWALD
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Exit govind rubber ASAP.....
AJSTECHCHARTS
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Would this great for 1 month position with this stock?
vanathi
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@jtstv16, I guess not!
GRINDELWALD
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@vanathi, hi vanathi can u please tell me about the risks involved in dealing with penny stocks???
vanathi
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@GRINDELWALD, Please consult your financial manager before investing in stocks.