Technical Breakout Stocks: How to trade Godfrey Phillips, M&M and Dixon Technologies

Sectorally, buying was seen in , , and consumer durable stocks while IT stocks saw some selling pressure.

Stocks that were in focus on Friday include names like which was up over 10% to hit a fresh record high, M&M gained nearly 6% and closed with gains of over 8% to hit a fresh high on Friday.

We have collated a list of three stocks that either hit a fresh 52-week high, or an all-time high or saw a volume or a price breakout.

We spoke to an analyst on how one should look at these stocks the next trading day entirely from an educational point of view.

Here’s what Kunal Kamble, senior technical analyst at , had to say:

Dixon: Buy

Dixon Technologies is giving an example of history synchronization. The first up move in the security was of ~24.7%, which was followed by a retracement towards 50% (Fibonacci), the next up move in the security has been ~ 22.7%, which was followed by a retracement towards 50% (Fibonacci), the third up move in the security has been ~ 20.02%, which was again followed by a retracement towards 50% (Fibonacci).

The current move in the security has started with an impulsive move with volume increasing, which is indicating the stock to move upwards. The RSI after cooling off again has started moving in the northern direction supporting the price action.

Based on the above analysis it is expected that the stock can move towards 9,296.95 levels

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Godfrey Phillips: Buy

Godfrey Phillips made a high of 3,686 on March 11, 24, and selling pressure was seen around the 2,907.5 level. At 2,907.5 level, the security took support of 50 EMA, which has been acting as a strong support.

The move continued towards 3,686 levels and a pause was seen for 2 days. On Friday, buyers overpowered the sellers and closed above the Resistance at 3,992.65 levels, which indicates a breakout.

Volume during the day has been on the higher side, which also indicates buyers' interest at the current rate.

On the momentum front RSI (14) is forming HH and LH formation, which is supporting the price trend. Based on the above analysis, the stock is expected to move up by 19-25%.

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M&M: Buy On Dip

M&M is riding its 3rd Wave's extended wave and targets are posed near the 2,600 level — a throwback would be an opportunity to enter.

The primary trend in M&M is positive and buyers have shown aggressive intention of buying the security on dip. The volume increase during the buy days is on the higher side and during the selling the decreasing volume is suggesting that the buyers are interested to buy the security on dip.

The momentum indicator RSI has entered the overbought zone (82.5), which suggests entry on cool down would be the best way to enter in the security. Based on the above setup it is advisable to buy the security on dip.

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(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of the )