M&M Stock Analysis And its quarter result overview
Hi folks, We hope that you all are doing absolutely amazing. We are writing down a review on the M&M stock. As the stock has a good chance of going up from here. Logic will be explained to you and if you are able to digest the logic of us then you surely can take the entry in the stock.
M&M Stock was not doing so good from last 3 quarters, in the previous quarter, it was almost neutral but earlier the company was facing a lot of losses in its business, but yesterday company posted a very good result. The company posted 785% (YOY) profit. Which shows a good sign of recovery and gives good confidence to the investors that explains that the company now has a good fundamental reason.
Now we will look at the daily chart of M&M.
Look at the first circle from the left that is indicating the first seller in M&M stock and then 2nd circle is indicating the cluster or call it a mini range. Then we have a range in the green lines and now it was broken with the good result reaction. This breakout was the real one because the company had a good reason behind that plus there was a good volume when the breakout came.
Now let's look at the technical parameters of the stock. There was an entry on the basis of range breakout. In the retracement, we could have taken an entry in the stock. When the previous sellers' area came. That means near the 1st circle area we can book the profit, But this stock has good chances of going up due to the good fundamental and technical reason.
One reason was the range breakout entry and the second, was the price action that means from the first circle area when the price came down we have to see the reaction of sellers and then now buyers when they are strong and with good fundamental reason, we could have taken the entry. This might go above your head as this is a bit advanced level to understand.
Take a look at the 1hr chart.
