I don’t track Jindal stainless fundamentally but the chart presents some interesting patterns and hence posting it here. (disc: not invested, no views)
Near term it has been consolidating in a triangular formation. Need to see which side it breaks out and whether it is a genuine breakout or a false one. Results have been good, so need to see how it reacts next week.
More interesting aspect from learning point of view for me was the earlier breakout above March 23 high of 329 which happened in June 2023. This was a nearly 3 months consolidation below 329 after which stock price broke out above the swing high of 329. This provided a good entry point for someone interested in swing trade.
Even better entry was a "cheat entry(shown in solid blue small horizontal trendline) " ( a term described by Minervini) when stock price broke out above a few days tight consolidation ( VCP) on 7th June 2023. This could have provided an initial entry and then one could have added more on clearing of 329. ( Or could have devised some strategy to suit one’s own trading style)
Stock price has given nearly 50% appreciation since June 2023 . Also note the nearly 12 days tight consolidation near the breakout zone of 329. This was a chance for those with a keen eye to get into the stock, and the chance lasted nearly 12 days.
The chart posted below is of a daily time frame. Something similar can happen in stocks which break out on a longer term time frame. Say in weekly chart, or monthly chart if there is a multi week or multi month breakout, stock price can oscillate above and below breakout level for a few weeks or months respectively. That is the time to do some homework, look at fundamentals wherever possible and then take a call.
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