PLASTIBLENDS - Monthly - Ascending Channel - Bullish - Long

14 Jul 2024

Plastiblends India Ltd. has shown a strong uptrend within a well-defined ascending channel since 2013. The recent price action suggests a continuation of this trend, presenting a compelling opportunity.

Technical Analysis:

• Ascending Channel: The stock has been trading within an ascending channel for over a decade, demonstrating a consistent pattern of higher highs and higher lows.
  
• Support and Resistance: The stock recently bounced off the lower boundary of the channel, a strong support level. The upper boundary of the channel acts as the resistance.
  
• Volume Analysis: The volume has shown spikes during uptrends, indicating strong buying interest.
  
• RSI Indicator: The RSI (14) is currently at 62.46 and trending upwards, suggesting increasing bullish momentum. The RSI has bounced off from the mid-50 level, a common support in uptrending stocks.
  

Plastiblends India Ltd. is in a robust uptrend within an ascending channel. With strong technical indicators and bullish momentum, this stock presents a favorable risk-reward ratio in my opinion. What are your thoughts?


Disclaimer: This analysis is for educational purposes and should not be considered financial advice.