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2 Breakout Shares that Started the Week with a Bang!

Published 31-07-2023, 06:19 pm
HEGL
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INAM
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The mood of the Indian markets remained on the bullish side, amid a lackluster performance in the preceding week. The benchmark Nifty 50 index closed the session 0.55% up at 19,753.8 while Sensex jumped 0.56% to 66,527.67.

The buying was seen across the board and going in sync with the bullish tone, here are 2 breakout shares that made investors’ day.

HEG Limited

HEG Ltd. (NS:HEGL) is a graphite electrode manufacturer with a market capitalization of INR 6,507 crores and trades at a TTM P/E ratio of 12.22. Although the stock has been rallying continuously since April 2023 and might seem overbought at INR 1,800, as it almost doubled from March 2023 low of INR 928, there’s still some juice left in the rally.

Daily chart of HEG with volume bars at the bottom

Image Description: Daily chart of HEG with volume bars at the bottom

Image Source: Investing.com

The stock delivered a fresh breakout in today’s session above its horizontal resistance of INR 1,740 and surged past it, giving a 6.92% up move to INR 1,802.65. There still seems some potential left till the level of INR 1,900 which can be capitalized by long traders this week.

Indo Amines Limited

Indo Amines Ltd (BO:INAM) manufactures organic and inorganic compounds and has a market capitalization of INR 779 crores. The stock had been witnessing a consistent selling pressure since mid-June 2023 which is evident from its downward movement on the daily chart. As the stock was sliding, it formed a falling trendline resistance which was a good measure to gauge trend reversal.

Daily chart of Indo Amines with volume bars at the bottom

Image Description: Daily chart of Indo Amines with volume bars at the bottom

Image Source: Investing.com

Today, the stock jumped 8.12% to INR 119.15 and sliced through the diagonal resistance, which is now painting a bullish picture for it. Today’s volume of 415.6K shares is the highest in over a month which is good supporting evidence for a rally from here. Traders can eye for the next resistance of INR 126 which could be there on the screen this week.

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