{"id":271307,"date":"2013-01-10T10:43:48","date_gmt":"2013-01-10T05:13:48","guid":{"rendered":"http:\/\/stockviz.biz\/index.php\/?p=271307"},"modified":"2013-01-10T10:46:27","modified_gmt":"2013-01-10T05:16:27","slug":"analysis-eichermot","status":"publish","type":"post","link":"https:\/\/stockviz.biz\/index.php\/2013\/01\/10\/analysis-eichermot\/","title":{"rendered":"Analysis: EICHERMOT"},"content":{"rendered":"

Today\u2019s pick is EICHERMOT [stockquote]EICHERMOT[\/stockquote]. The stock has been on an uptrend throughout the year with a 2 month correction period during the middle. The stock experienced its 52-week high of Rs. 3,000 a week ago and is undergoing consolidation currently. In the last three months, the stock has moved +25%<\/strong> vs. +5% of the Nifty\u2019s. <\/p>\n

\"EICHERMOT<\/a> <\/p>\n

Oscillators RSI<\/a> and CMO<\/a> are in no man\u2019s land and are not signaling any directional move. Short-term technical just saw a 9×4 bearish<\/b> cross-over combined with a bearish<\/strong> Gravestone doji<\/b>. <\/p>\n

The MACD<\/a> line is moving close to the signal line and the dropping histogram levels are suggesting a bearish <\/b>outlook. The long-term GMMA<\/a> lines are well dispersed and are suggesting a long term bullish move<\/b> for the scrip. Also, the stock just saw a close below the center line of Bollinger band,<\/a> which is short-term bullish<\/strong>. <\/p>\n

\"EICHERMOT<\/a> <\/p>\n

<\/b> <\/p>\n

EICHERMOT\u2019s average correlation<\/a> with the Nifty<\/a> is 0.42, which is positive<\/strong>. The scrip will be replicating the movement of Nifty. [stockquote]NIFTYBEES[\/stockquote] <\/p>\n

\"EICHERMOT<\/a> <\/p>\n

EICHERMOT has a historical volatility<\/a> in the range of 0.3 to 0.8. The scrip\u2019s volatility currently is in the middle of the range. <\/p>\n

Given these technicals, we suggest a short-term Hold <\/b>and a <\/b>long-term Buy<\/b> for the script. We suggest traders to use trailing stop-losses<\/a> in order to book profits if a trend-reversal were to take place. <\/p>\n

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