Simbhaoli hits upper circuit. Charts indicate more upside for sugar stocks

The government has raised sugarcane Fair and Remunerative Price (FRP) by Rs 10 a quintal for 2020-21 season

Balrampur Chini Mills (BALRAMCHIN): A closing basis “Double Bottom” formation on the weekly chart reflects the strong upward movement. The counter can hit Rs 180 levels in the sessions ahead of the breakout pattern is not broken, charts suggest. The immediate support comes at 50-weekly moving average (WMA) placed at Rs 138 levels. Stability above Rs 143 should add strength and bring down the selling pressure. The Moving Average Convergence Divergence (MACD) is climbing the zero line upward. As it crosses the zero mark, a rise in price can also be accompanied by an increase in volumes. CLICK HERE FOR THE CHART

DCM Shriram Limited (DCMSHRIRAM): After experiencing a “Death Cross” on the weekly chart, this counter is not showing any weakness. Although the channel breakdown level is at Rs 280, the price is not showing any weakness as of now from a medium-term perspective. DCM Shriram is making an attempt to cross 200-WMA placed around Rs 365 with Relative Strength Index (RSI) trending upward, along with the positive momentum from MACD, which has crossed the zero line recently. The overall trend suggests a possible rally towards Rs 410 levels. The support is at Rs 328 levels, which also is the counter's 50-WMA. CLICK HERE FOR THE CHART

Triveni Engineering & Industries Limited (TRIVENI): The stock has made several attempts to cross its 52-week high of Rs 86.30. The underlying strength and momentum is highly optimistic and is likely to stay that way. The support comes in at Rs 68 on the closing basis. There are chances that the stock can hit Rs 95 in the sessions ahead. The 50-day moving average (DMA) has crossed the 200-DMA. A “Golden Cross” with a breakout at Rs 80 levels may trigger a sharp rally. CLICK HERE FOR THE CHART
 

Avadh Sugar & Energy Limited (AVADHSUGAR): Avadh Sugar is attempting to cross 200-DMA placed at Rs 205 with a support of 50-DMA at Rs 182 levels. MACD and volume structure indicates the likelyhood of a rise from the current levels. If it is able to hold on to Rs 205 levels on good volume, the stock can then rally towards Rs 225 and Rs 240 levels in the sessions ahead. CLICK HERE FOR THE CHART

The Andhra Sugars Limited (ANDHRSUGAR): The stock is in a consolidation mode and is unable to chart a clear course as of now. While a “Golden Cross” formation on the charts suggests an upward breakout in the short-term, the 'Double Top' formation hints at a weakness, as per the daily chart. There is support at Rs 305 levels. The stock shoud remain directionless till Rs 365 level is not taken out on strong volumes, which can then trigger an upside. CLICK HERE FOR THE CHART
 
Simbhaoli Sugars Limited (SIMBHALS): This counter has doubled in the last seven sessions, which is an absolute stunning move that has been accompanied by volumes. On Thursday, it hit an upper circuit of 5 per cent. The trend suggests further upside towards Rs 35 levels with a support of Rs 25 on a closing basis. CLICK HERE FOR THE CHART