Tag: SIEMENS

Analysis: SIEMENS

Today’s pick is SIEMENS [stockquote]SIEMENS[/stockquote]. The stock saw a double top at the beginning of the year, to start its descent to Rs. 650 levels. It then was range bound between Rs. 650 – Rs. 750 for June to January. In January it saw a bearish breakout of the range, and has since been headed south. In the last three months, the stock moved -22% vs. -2% of the Nifty’s.

SIEMENS technical analysis chart

Oscillator RSI and CMO are deep into over-sold territory. The stock is trading in the lower edge of a very broad Bollinger band.

The MACD line and signal line are moving parallel to each other without giving any directional bias. Also, Long-term and short-term GMMA lines are currently inverted and expanding giving a bearish bias for the stock.

SIEMENS correlation chart

SIEMENS’s average correlation with the Nifty is 0.58 which is positive and strong. The scrip will be replicating movement of Nifty. [stockquote]NIFTYBEES[/stockquote]

SIEMENS volatility chart

SIEMENS has a historical volatility in the range of 0.2 to 0.5. The scrip’s volatility is currently in the lower end of the range.

Given these technicals, we suggest a short-term Buy and a long-term Sell. However, as the scrip is deep in over-sold territory, I suspect that a move back is in waiting for the short-term.

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Analysis: SIEMENS

Today’s pick is [stockquote]SIEMENS[/stockquote]. The stock was in an up-trend in the starting of this year until mid-April, after which it started declining to find support at the long term 650 levels. However, since June it has been range-bound between the 650 and 750 levels. In the last three months, the stock moved 2% Vs 4% as that of Nifty’s.

stock

Oscillators RSI and CMO are at currently at 38 and -16 are close to the over-sold territory but are not suggesting any direction.

MACD line and signal line are moving close to each other but are not indicating of any directional move.

The long-term GMMA chart is very tightly packed with short-term lines are starting to move up, directing a short-term upward movement.

The stock saw a bearish 9X18 crossover a week ago.

cor

SIEMENS’s average correlation of 0.60 with the Nifty is positive. The stock will replicate the movements of Nifty. [stockquote]NIFTYBEES[/stockquote] 

vol

SIEMENS has a historical volatility in the range of 0.3 to 0.9. The scrip’s volatility is currently in the middle of the range and hence is not a concern.

Looking at these technicals a short-term buy is suggested if a pullback from the 650 levels is seen on higher volumes. A longer-term call could be made after a decisive break-out of the range in either direction.

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