Every year some IPOs hit the market and despite all concerns about Valuation do great run and surprise everyone with their move. This year two IPOs have caught my attention purely based on Price Action.
1. Bandhan Bank = Great Bullish run in 2018
Source: Chartalert.com
Bandhan Bank stock formed a double bottom around first week of June and now 2.5 months later – the stock is up 60%.
2. Can Lemon Tree Hotel do the same?
Source: Chartalert.com
Lemon Tree Hotel stock has formed a similar structure. It formed a double dip around 62 levels and now seems to hitting the resistance of 85 with downside support at 50 dma/76-77 levels. It looks like a matter of time before we see a huge surge and breakout in the stock. One can hope with a stop loss below 74.
In the financial market, we can assume but there is no guarantee that what you assume will happen. Hence, there is a STOP LOSS as an admission that the assumption is not working 🙂
Disclaimer – The state of the market notes is Deepak’s perspective on the market. The column is purely for educational purpose. Nothing contained herein is a solicitation to trade or a recommendation of a specific trade. By reading this publication you agree to make no trade relying in whole or in part on the comments of the writers