Gladiator Stocks - Shilpa Medicare: ICICI Securities

ICICI Securitie's research report on Gladiator Stocks Shilpa Medicare

Technical View

The share price has undergone healthy consolidation after witnessing sharp up move during April 2020 (Rs 233-429). This overall price activity has taken a shape of a bullish Flag formation. Currently stock logged a resolute breakout from bullish Flag formation, indicating resumption of primary up trend, offering fresh entry opportunity with favourable risk reward Structurally, after three years corrective phase stock formed a higher high-low on yearly chart, indicating conclusion of corrective bias. Key point to highlight is that over past 14 quarters stock has retraced 80% of preceding thirteen quarters up move (Rs 70 – 786), at Rs 213. Slower pace of retracement followed by base formation signifies inherent strength, paving the way to ride next leg of up move The aforementioned technical evidences makes us confident that stock will accelerate upward momentum and head towards Rs 535 in coming months as it is 61.8% retracement of 2017-19 decline (Rs 705 – 208), at Rs 515 coincided with multi-year resistance of Rs 550

Gladiator Stocks – Shilpa Medicare-05.06.2020