Gujarat NRE Coke: Price Channel & Resistance @ Rs 70

GUJARAT NRE COKE Daily NSE Stock Chart Technical Analysis:

Gujarat NRE Coke stock price went up today, but continued sideways.  It has remained sideways since mid-May after it fell through its line of resistance.

Price closed at Rs. 63.95.

Market Outlook:  The price is expected remain around today's close.  Tomorrow EOD should close between Rs 64 and Rs. 65.5. 

Technical Indicators:

We can see long term lines of support and resistance on the chart.  

Support is available at Rs 54.  

The strong resistance lies at Rs. 71.  If this resistance is broken it will be a very good opportunity to go long.

Head and shoulders pattern has formed recently.  If the price falls and fails to cross 69, there might be a downfall in the price again.

News:

Gujarat NRE Coke has declared ambitious plans to invest in Australian mines and increase production over the next 5 years.  But this is not expected to have any immediate effect on the stock

Let's see if the quarterly results will do any magic soon.

(Analyzed on request by KP, Mumbai)

Suzlon: Indecisive & Weak for the time being

SUZLON ENERGY Daily NSE Stock Chart Technical Analysis:

Suzlon Energy is moving sideways and the market is wondering what to do with this stock in the near future.

The price opened at Rs 57.4 and closed at Rs 57.75 after moving up and down the entire day.

Market Outlook:  The price will move sideways and remain between 59 and 56.5.  

Technical Indicators:

• Resistance is at Rs 59 and support is at Rs 56.5 and then at Rs 55.  Both these price levels are important to watch.  If and when the market breaks 55 with high trading, there is a short-term opportunity to go short.  The opportunity to go long seems unlikely in near future.
• The price had taken support of its 100 day moving average in the previous low swing.  The price is facing resistance at its 20 day moving average, both shown on the chart as red and blue lines.

News:

• Suzlon is planning to go big in China next year.  This might be positive for the company.  Suzlon is currently facing some litigation on land acquisition issue which can generate bad press for the company.
• The company board has agreed to raise Rs 5000 crores via the share market, so keep an eye on this stock as there could be an opportunity to go long in 2011.  For now, nothing immediate and good is on the cards.

(Suzlon Energy analysis requested by Jaikrishna, Ranchi)