Sunday, January 7, 2018

Sudarshan Chemical - Flag Breakout

Sudarshan Chemical-
This stock has seen run up from 134 to 454 during June 16 to Sep 16. This phase has formed pole of the Flag pattern. After this run up the stock went into consolidation between Sep 16 till Dec 17. This phase has formed Flag portion of the Flag pattern. You can seen on the monthly Candle chart below the Flag marked on the chart.
On 4th Jan 18 the stock has broken out of the Flag consolidation. On monthly chart the the stock is seen forming a nice bookish pattern showing a breakout of of Flag pattern. Only catch here is that the monthly candle is yet not finished as its the candle of Jan 18 and Jan 18 will be over only on 31st Jan.
The pattern gives us a target of 660. Lets hope that the stock reaches this level. Time period expected for stock to reach this level is 5-6 months.