The stock, with a market capitalization of more than Rs 13,000 crore, hit a 52-week high of Rs 2022 on April 29, 2022 but failed to sustain the momentum. The sock took support around 1,065 rupees on June 20 and then recovered.
The stock closed at Rs 1,648 on October 14, 2022, up over 50 percent from the recent low.
Strong price action after June helped the stock regain momentum and climb above the crucial moving averages. Short-term traders may look to buy the stock now or on dips for a possible target around the April 2022 highs, experts suggest.
The stock also saw a breakout of the neckline of a head and shoulders pattern on the weekly charts, which bodes well for the bulls. This is the second breakout of said pattern since September.
The stock is up more than 8 percent in a week and over 25 percent over the past three months, Trendlyne data showed.
It is trading above the crucial short and long term moving averages at 5, 10, 30, 50, 100 and 200 DMA, which is a positive sign for the bulls.
After the uptrend to October 2021, the correction was listless as Angel One share price failed to break its crucial support at Rs 1,000-1,170.
“The stock surpassed the shoulder level (Rs 1,555.70) of the head and shoulders pattern in the first week of September 2022 and caused it to fail. This now suggests a continuation of the previous uptrend,” said Vidnyan Sawant, AVP – Technical Research, GEPL Capital.
“The rise in prices has been accompanied by rising volumes, while the downturn has been followed by lower volumes, suggesting that supply is smaller than demand,” he said.
Prices are currently trading above the 20-week SMA, which has acted as strong variable support and resistance for the immediate ups and downs.
“On October 4, 2022, prices created a strong bullish gap with high volume that can be considered a breakaway gap,” he said.
“During the daily time frame, the Bollinger Band has started to expand, indicating increasing volatility in prices. The RSI is above the 50 level on both the daily and weekly timeframes, reflecting the increasing momentum in prices,” added Sawant.
“Going forward, we expect prices to rise to their record high by 2022, where the stop loss on the closing basis needs to be 1,495 rupees,” suggests Sawant.
(Disclaimer: Experts’ recommendations, suggestions, views and opinions are their own. These do not represent the views of Economic Times)
https://economictimes.indiatimes.com/markets/stocks/news/chart-check-50-up-from-june-lows-this-stock-broking-firm-could-retest-52-week-high-in-1-2-months/articleshow/94909516.cms angel one share price: Chart Check: 50% up from June lows, this stock broking firm could retest 52-week high in 1-2 months