{"id":309721,"date":"2013-02-20T10:24:06","date_gmt":"2013-02-20T04:54:06","guid":{"rendered":"http:\/\/stockviz.biz\/index.php\/?p=309721"},"modified":"2013-02-20T10:40:39","modified_gmt":"2013-02-20T05:10:39","slug":"analysis-colpal","status":"publish","type":"post","link":"https:\/\/stockviz.biz\/index.php\/2013\/02\/20\/analysis-colpal\/","title":{"rendered":"Analysis: COLPAL"},"content":{"rendered":"

Today\u2019s pick is COLPAL [stockquote]COLPAL[\/stockquote]. The stock has been on an uptrend for most part of the year. The stock experienced its 52 week high of Rs. 1,580 in December but since then the stock has been moving downwards retracing the gains. In the last three months, the stock has moved +2%<\/strong><\/b> vs. +5% of the Nifty\u2019s.<\/p>\n

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

Oscillator RSI<\/a> and CMO<\/a> are close to the over-sold territory. The stock is trading in the middle of a narrowing Bollinger band<\/a> giving no directional <\/b>bias.<\/p>\n

The MACD<\/a> line has just penetrated the signal line in a bullish<\/b> manner. However, Long-term and short-term GMMA<\/a> lines can be seen inverted in a bearish<\/b> manner given the downward movement of the stock.<\/p>\n

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

COLPAL\u2019s average correlation<\/a> with the Nifty<\/a> is +0.26<\/b> which is positive <\/b>but weak. The scrip will not be replicating movement of Nifty closely. [stockquote]NIFTYBEES[\/stockquote]<\/p>\n

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

COLPAL has a historical volatility<\/a> in the range of 0.3 to 0.7. The scrip\u2019s volatility is currently in the lower end of the range and hence not a concern for the traders.<\/p>\n

Given these technicals, we suggest a short-term buy<\/b>. For the long-term we suggest to take a call based upon the expansion of the long-term GMMA lines. However trailing stop-losses<\/a> will be of help in case sudden trend-reversal were to take place.<\/p>\n

Related articles<\/h6>\n