18 Oct 2019 ● 06:12 AM
I have covered a few of the beaten down stocks recently even though I consider them high risk. The reason was that a clear ABC decline could be seen. The real judgement in any of these cases apart from the chart is that the company should not go bankrupt or hit financial closure. Once you can take that view it's really a question of turning around the business or a change in the business environment. Chart -wise we have formed a small triangle on the daily charts that could be wave five of see. The chart below however as of the monthly chart where I'm showing C=A near 1.8 that I wrote about a couple of years ago has been achieved, or almost as we touched 1.95 sometime back. This company has a unique history of having risen to star status in 1992, then got included in the A group. Eventually after its fall was removed from the A group of shares as defined by the BSE. Again on its way back from the ashes in 1998 it eventually managed to become big enough to be included in the A group again. Now it is surprisingly back in the dumps from a high of 340 made in January 2008. Can we rise from the ashes or third time only time will tell.