Dear Readers,
Today our pick for the day is Whirlpool. It is a manufacturer of home appliances primarily engaged in the manufacturing and trading of Refrigerators, Washing Machines, Air Conditioners, Microwave Ovens, and small appliances.
Our Mandatory checklists are
- Candlestick & Delivery Volume Analysis
- Future Open Interest
- Option Open Interest
- Technical Analysis using Ichimoku system
- Overall
- Stop Loss & Risk Reward Ratio
Let's look at the chart from the Tradingview below,
1. Candlestick & Delivery Volume Analysis:
The candlestick pattern for the past few days shows lower lows and lower highs in daily charts. We can expect a further bearish momentum in the stock below 2081.
The percentage of delivery volume in terms of traded quantity is 54% as per the NSE website.
Also, as per the charts, the volume is above the average volume for the past 10 days and volume is increasing which shows positive momentum in the delivery.
2. Future OI:
The increase in open interest was significant as per the data available Combined with the decline in price it shows bearish momentum.
3. Option OI:
OI on options are illiquiud. Hence we can ignore the data for now.
4. Technical Analysis:
As per the Ichimoku indicator, the price is below the cloud and all the components are also showing negative bias as follows
- Tenken Sen - Points downwards and closer to the price
- Kijun Sen - Points downwards and close to the price
- Senkou Span A - Points downwards and cloud is about to become red
- Senkou Span B - Points downwards and cloud is about to become red
- Chikou Span - Free in open space and don't have any immediate support on its way
RSI is at 22 and pointing downwards which shows bearish momentum.
5. Overall:
Overall the stock is showing more negative clues than positive.
6. SL & RR:
Stoploss for the stock can be at 2162 and Target can be at 1970. The RR will be 1:1.34
Thanks to Tradingview, NSE India.