Certain stocks react in a positive manner wrt crude international prices and one such stock in the pipeline is Asian Paints which has a large consumption of crude being its primary component.
Have a look at Asian Paints chart which has given the breakout and can target the levels of 1400,1500 level and may be now is the right time to enter in the stock keeping stop loss as 1250 in short to medium term and long term traders can keep a stop loss of 1160 in the stock.
Happy Investing and spotting the right opportunities by technical analysis. Do remember to trade with our Intraday tips if you intend making money by 11 AM every day.
All those with a fear or shall we call the mental block against high priced stocks can consider Kansai Nerolac which is also in the same segment as Asian Paints as again crude is its major consumption. You can check Asian Paints daily chart here.
Conclusion
So, we can safely conclude that with crude prices going down, companies in paint segment needs to be entered as it increases their profit margin.
Have a look at Asian Paints chart which has given the breakout and can target the levels of 1400,1500 level and may be now is the right time to enter in the stock keeping stop loss as 1250 in short to medium term and long term traders can keep a stop loss of 1160 in the stock.
Happy Investing and spotting the right opportunities by technical analysis. Do remember to trade with our Intraday tips if you intend making money by 11 AM every day.
All those with a fear or shall we call the mental block against high priced stocks can consider Kansai Nerolac which is also in the same segment as Asian Paints as again crude is its major consumption. You can check Asian Paints daily chart here.
Conclusion
So, we can safely conclude that with crude prices going down, companies in paint segment needs to be entered as it increases their profit margin.
