icici direct- technical delivery call dredging corporation of india - apr 01, 2014
TRANSCRIPT
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8/12/2019 ICICI Direct- Technical Delivery Call Dredging Corporation of India - Apr 01, 2014
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8/12/2019 ICICI Direct- Technical Delivery Call Dredging Corporation of India - Apr 01, 2014
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ICICI Securities Ltd. | Retail Equity Research Page 2
Conclusion: Based on the aforementioned technical evidence, we believe the stock has concluded a healthy base formation near an important support area and is ripe for a fresh upward leg. We expect the stock to rally towards itsJanuary 2014 high of | 290 in the medium-term, which also coincides with the 80% retracement of its last down legaround | 285. Therefore, it offers good buying opportunity with favourable reward/risk set up for medium-termplayers.
Exhibit 1: Dredging Corporation of India Daily Bar Chart
Source: Bloomberg, ICICIdirect.com Research
Lack of volumes during the correction and steady rise involume during base formation highlight the positive trend
The stock appears set to resume its uptrend after forming a steady
base above the 61.8% retracement of the August 2013 rally andoffers good buying opportunity from medium term perspective
Multiple positive divergences on RSI during base formation
150
208
290
61.8% retracement @ 215
Base formation at 61.8%retracement support
325
MACD ventures into positive territory above trigger line indicating build up of strength
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8/12/2019 ICICI Direct- Technical Delivery Call Dredging Corporation of India - Apr 01, 2014
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8/12/2019 ICICI Direct- Technical Delivery Call Dredging Corporation of India - Apr 01, 2014
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ICICI Securities Ltd. | Retail Equity Research Page 4
Recommended product wise trading portfolio allocation
Allocations Return ObjectiveProducts Product wise
allocationMax allocation
in 1 stockNumber of Calls
Frontline Stocks Mid-cap stocksDuration
Daily Calls 8% 2-3% 3-4 Stocks 0.50-1% 2-3% Intraday
Short term Delivery 6% 3-5% 7-10 p.m 4-5% 7-10% Opportunity based
Weekly Calls 8% 3-5% 1-2 Stocks 5-7% 7-10% 1 Week
Weekly Technical 8% 3-5% 1-2 Stocks 5-7% 7-10% 1 Week
Monthly Call 15% 5% 2-3 Stocks 7-10% 10-15% 1 Month
Monthly Technical 15% 2-4% 5-8 Stocks 7-10% 10-15% 1 Month
Techno Funda 15% 5-10% 1-2 Stocks 10% and above 15% and above 6 Months
Technical Breakout 15% 5-10% 1-2 Stocks 10% and above 15% and above 3-6 Months
Cash in Hand 10% - - - - -
100%
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8/12/2019 ICICI Direct- Technical Delivery Call Dredging Corporation of India - Apr 01, 2014
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