Case Study: Naukri Breakout in June 2017
Source: Chartalert.com
Naukri stock broke out above 940 in June 2017 and then the stock managed a small rally and pulled back to retest 940 again by last week of August 2017. It means three months of no performance. I have seen so many times – people give up on the stock due to impatience without realizing that stock was doing all the right thing – holding support. The stock then took off in September and rallied to 1450 i.e. 50% by Jan 2018. In eight months, the breakout delivered 50% returns…not bad
Source: Chartalert.com
A Breakout stock offers numerous Opportunities on the way up. After a breakout rally – the stock does either take rest by forming a horizontal base or pulls back to some moving average support. Naukri stock did the same and offered another opportunity.
Source: Chartalert.com
Naukri stock delivered another 30% rally. What does this mean? – Two Opportunities and good returns 🙂
As part of Live Case Study: I covered both the instances:
The Breakout:
http://www.smarketpremium.com/2017/06/12/naukri-breaks-out/
When the stock formed the Bullish Base:
http://www.smarketpremium.com/2018/04/24/why-infoedge-naukri-looks-interesting/
It’s a good case study to look back and understand how to deal with the breakout when it happens.