{"id":10677,"date":"2022-10-18T13:50:04","date_gmt":"2022-10-18T08:20:04","guid":{"rendered":"https:\/\/www.tickertape.in\/blog\/?p=10677"},"modified":"2022-10-18T15:06:54","modified_gmt":"2022-10-18T09:36:54","slug":"ambuja-cement-will-this-cement-counter-show-strength-again","status":"publish","type":"post","link":"https:\/\/www.tickertape.in\/blog\/ambuja-cement-will-this-cement-counter-show-strength-again\/","title":{"rendered":"Ambuja Cement: Will This Cement Counter Show Strength Again?"},"content":{"rendered":"\n<p>A stock-specific approach in the market works really well. During a boom, we can capture the ongoing trend of the stocks, and we can buy near bottoms (consolidation) during the correction phase of the market. Likewise, here is a stock that\u2019s giving a good accumulation opportunity after the recent run-up. That counter is <a href=\"https:\/\/ttape.in\/GkYPeeeFdub\" target=\"_blank\" data-type=\"URL\" data-id=\"https:\/\/ttape.in\/GkYPeeeFdub\" rel=\"noreferrer noopener nofollow\">Ambuja Cement<\/a>.<\/p>\n\n\n\n<p class=\"sc-embed\" data-width=\"500px\" data-orders=\"%5B%7B%22quantity%22%3A10%2C%22ticker%22%3A%22AMBUJACEM%22%7D%5D\" data-cardsize=\"big\" data-withtt=\"true\" data-withsearch=\"true\" style=\"width:500px;min-height:300px;display:flex;align-items:center;justify-content:center\"> <strong>loading widget to trade AMBUJACEM<\/strong> <\/p> <script async=\"\" src=\"https:\/\/www.gateway-tt.in\/assets\/embed.js\"><\/script>\n\n\n\n<p>Let\u2019s do a quick <a href=\"https:\/\/www.tickertape.in\/blog\/technical-analysis-of-stocks\/\">technical analysis<\/a> of Ambuja Cement to understand set-ups.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_66_1 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.tickertape.in\/blog\/ambuja-cement-will-this-cement-counter-show-strength-again\/#Weekly-Price-action-and-trend-line\" title=\"Weekly: Price action and trend line\">Weekly: Price action and trend line<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.tickertape.in\/blog\/ambuja-cement-will-this-cement-counter-show-strength-again\/#Weekly-Ichimoku\" title=\"Weekly: Ichimoku \">Weekly: Ichimoku <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.tickertape.in\/blog\/ambuja-cement-will-this-cement-counter-show-strength-again\/#Daily-Price-action-and-trend-lines\" title=\"Daily: Price action and trend lines\">Daily: Price action and trend lines<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.tickertape.in\/blog\/ambuja-cement-will-this-cement-counter-show-strength-again\/#Daily-Fibonacci\" title=\"Daily: Fibonacci\">Daily: Fibonacci<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.tickertape.in\/blog\/ambuja-cement-will-this-cement-counter-show-strength-again\/#Daily-Relative-Strenght-Index-RSI\" title=\"Daily: Relative Strenght Index (RSI) \">Daily: Relative Strenght Index (RSI) <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.tickertape.in\/blog\/ambuja-cement-will-this-cement-counter-show-strength-again\/#Daily-Ichimoku\" title=\"Daily: Ichimoku \">Daily: Ichimoku <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.tickertape.in\/blog\/ambuja-cement-will-this-cement-counter-show-strength-again\/#Daily-Supertrend\" title=\"Daily: Supertrend \">Daily: Supertrend <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.tickertape.in\/blog\/ambuja-cement-will-this-cement-counter-show-strength-again\/#Ratio-chart-of-Ambuja-and-ACC\" title=\"Ratio chart of Ambuja and ACC \">Ratio chart of Ambuja and ACC <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.tickertape.in\/blog\/ambuja-cement-will-this-cement-counter-show-strength-again\/#Ratio-chart-of-Ambuja-and-Nifty\" title=\"Ratio chart of Ambuja and Nifty \">Ratio chart of Ambuja and Nifty <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.tickertape.in\/blog\/ambuja-cement-will-this-cement-counter-show-strength-again\/#Ratio-chart-of-Ambuja-and-Adani-Enterprises\" title=\"Ratio chart of Ambuja and Adani Enterprises \">Ratio chart of Ambuja and Adani Enterprises <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.tickertape.in\/blog\/ambuja-cement-will-this-cement-counter-show-strength-again\/#Putting-it-all-together\" title=\"Putting it all together\">Putting it all together<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\" id=\"block-83b4efdb-1975-4522-b047-d6ee7e30bd29\"><span class=\"ez-toc-section\" id=\"Weekly-Price-action-and-trend-line\"><\/span><strong>Weekly: Price action and trend line<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><br><img decoding=\"async\" width=\"725.5861679315567\" height=\"334.81404733657837\" alt=\"Image\" src=\"https:\/\/lh3.googleusercontent.com\/80izEoZEmTJdicKABNA4-dH4ZpH5vUoSUtfJH5z7cUcDX3cKKqzC9uWcFKqo9VhSoYX1YFeBr3NI2mAYLxn2p3-CDGy-BJvBzqyFqwGPtu6Dleqseft1GWfH1d24vr1sBvw8x-l0XnlH6A3vxu7octcx5IDI_oIwoDverrHfFJA3zwNIZ8CRxsDIj9c4knkcb86PPQ\"><\/p>\n\n\n\n<p>This is the weekly chart of Ambuja. The trend is clearly strong and continuing up. The most recent run-up in the counter broke above the longest resistance trend line from 2008. After making the massive high, it&#8217;s so far retesting the breakout zone and consolidating near the same. Worth looking counter from a risk-reward perspective.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"block-0f90f2ea-a9fa-4e19-9233-8db409c6ef1d\"><span class=\"ez-toc-section\" id=\"Weekly-Ichimoku\"><\/span><strong>Weekly: Ichimoku<\/strong><br><img decoding=\"async\" width=\"730.1507691144943\" height=\"337.46529054641724\" alt=\"Image\" src=\"https:\/\/lh6.googleusercontent.com\/MGknW4TpStCJa42_WOQ7XRIeZecuej6BjYgYAwdyyozcuEi0oy36AasT6e6qr2xgNFDt_nX-Ej9hrF87u0exTyQocZFMsXnNdEbpPJXjGeJv2IOAodOqdG9264_IIPUFv3hd5qv74bE-DNmaWKpTEmCJu3-muYarQzYRpffRd666-FWyTOsolIJhhBxur3gNNBaL7Q\"><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>You can see a sizeable run-up in the counter and a pause on the charts. And the pause is right onto Tenkan Sen &amp; Kijun Sen conjunction. Both the short-term trend indicators are clearly up. Future cloud is also broadening and that confirms the possibility of a trend remaining bullish even in the time to come. This dip can be considered a buying opportunity from a positional perspective.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Daily-Price-action-and-trend-lines\"><\/span><strong>Daily: Price action and trend lines<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><img decoding=\"async\" alt=\"Image\" src=\"https:\/\/lh5.googleusercontent.com\/JtuRN9MQuyAum64gYFAQZbW_9GD4l_N5_XjRLJ7wHtTkmxpXMUPGD8R8hCnzG_AIS2kvyuenhAMjsbEuw6EQNoahOiAcoOiPkXKlLSCbtUjuGcdYT45S3ELvtRn3Wl2I8D8bOaFRKSSHugyXN2QsFKgnV1NbUdmdHtSmH0_-Ti4puBSDtU4gS_gQeOoLsQmnP75WUg\" width=\"726.9150762557983\" height=\"335.9657498598099\"><\/p>\n\n\n\n<p>On the daily chart, the recent decline is showing sideways consolidation. After connecting the most recent tops and bottoms, a symmetrical triangle seems to be in place. After the recent run-up, this symmetrical triangle can also be read as the \u2018Flag and Pennant\u2019 formation. This bullish formation is encouraging to buy near support from a favourable risk-reward perspective. One can even buy on break out for momentum catch-up.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Daily-Fibonacci\"><\/span><strong>Daily: Fibonacci<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The recent consolidation after the massive run-up is just hovering between 38.2% to 50%. In Fibonacci, this zone is considered a healthy correction. Even the trend line support is also near the 50% consolidation. These multiple confirmations are making the counter even more attractive.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Daily-Relative-Strenght-Index-RSI\"><\/span><strong>Daily: Relative Strenght Index (RSI)<\/strong><br><img loading=\"lazy\" decoding=\"async\" width=\"643\" height=\"251\" alt=\"Image\" src=\"https:\/\/lh5.googleusercontent.com\/NZ4tb2QuUix5TukuQIGhmpt7tot_HnSZ8-w0D0xLwsSORdO_u4qaN92JFEvLOewTCcde-8xnE9reCnillsYTJYgkvKnjyc8sJsJnBhjFGYQlgLZ1Q4906_35j7fsCeQodKwRvbXvAJnTMxdehzdEiNtDOuDx9HO6M4xNSgnf43b8sliymgEPEjaJvl-z8erCDJlgMw\"><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><a href=\"https:\/\/www.tickertape.in\/blog\/relative-strength-index\/\" data-type=\"URL\" data-id=\"https:\/\/www.tickertape.in\/blog\/relative-strength-index\/\">RSI<\/a> is a <a href=\"https:\/\/www.tickertape.in\/blog\/momentum-indicator\/\">momentum indicator<\/a>. In the most recent correction, the RSI came down from the overbought zone and hovered near 50. Where the RSI is making lower bottoms, Prize is near to the support and making higher bottoms. This particular information is known as the hidden bullish divergence. Any uptick from the present level will pull the RSI again from the 50 mark and make the counter attractive.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Daily-Ichimoku\"><\/span><strong>Daily: Ichimoku<\/strong><br><img loading=\"lazy\" decoding=\"async\" width=\"643\" height=\"250\" alt=\"Image\" src=\"https:\/\/lh6.googleusercontent.com\/jIJN1tfW-_zXQvT_cT-OVq3Uzje2NnbJGQMHqWG9TjYYgE8AwZ1hUhmoLB7eNA8XMAFjp3tUUn5md5_ca9rOW1izhpKZrX83LesHviABrT6uG7KTF0JD0rPLMeFK7Zy-FdvugPDGMVvpOzdne-CBISCJHmJY96sU9NFLGIle80fQhPKd97o00SMojiu52U8H5OMJog\"><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Just as we discussed the <a href=\"https:\/\/www.tickertape.in\/blog\/ichimoku-cloud\/\" data-type=\"URL\" data-id=\"https:\/\/www.tickertape.in\/blog\/ichimoku-cloud\/\">Ichimoku<\/a> formation on the weekly charts, almost a similar formation is seen on the daily charts. Price is near to Tenkan Sen &amp; Kijun Sen support zone and the future cloud is widening comfortably. The Sankou Span B is flat, showing strong support for the price and that\u2019s making the counter worth buying near support.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Daily-Supertrend\"><\/span><strong>Daily: Supertrend<\/strong><br><img loading=\"lazy\" decoding=\"async\" width=\"643\" height=\"250\" alt=\"Image\" src=\"https:\/\/lh5.googleusercontent.com\/_UqTzvfg94xQScAhIVooInG8yh4xxANoxK1w2yZRQ3N7iw_o4zDgmZ3MuCiXGiQ91bInnFkBsH4XDiM6zKfxgWY-n7a-r3OJ3ChyPNq8bcPdGubq9zgIEGCR6bqmVJLFg4ZK9d4pw0gN88-F21lyBBWIsBy0yDLSF4mrpzCJfjQsdue2hqZGrDcqhMriVb62IkB02g\"><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Since April, the counter initially remained sideways with a bullish bias and then entered a run-up. The <a href=\"https:\/\/www.tickertape.in\/blog\/supertrend-indicator-formula-and-how-to-use-it-to-identify-buy-and-sell-signals\/\" data-type=\"URL\" data-id=\"https:\/\/www.tickertape.in\/blog\/supertrend-indicator-formula-and-how-to-use-it-to-identify-buy-and-sell-signals\/\">Supertrend<\/a> clearly offered good support (price remaining above super trend). The most recent price correction also halted the same Supertrend. Looking at the historical data it seems that Supertrend may again offer fantastic support to the counter. Risk reward looks very favourable for positional traders.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Ratio-chart-of-Ambuja-and-ACC\"><\/span><strong>Ratio chart of Ambuja and ACC<\/strong><br><img loading=\"lazy\" decoding=\"async\" width=\"643\" height=\"250\" alt=\"Image\" src=\"https:\/\/lh6.googleusercontent.com\/qd02vk9K-TJby1KrYNXQIIbJ6zOygn1LusvFV9QnrfAs_d1JJVJ6hV1rpjzLA9lDv2-UOILdsbAZtoeLzfeS3_78GqeooD9rjuCbm5XFT-mu4nivQshbknWAeOc6YQ2LOwxX40CB5EBJZ0Kx10b54NRRz9lDj8jCbhpr-4C5NaIZBF9KQpu96b5a5V0XiyZmMAujGA\"><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Ambuja and <a href=\"https:\/\/ttape.in\/6DBAq5JFdub\" target=\"_blank\" data-type=\"URL\" data-id=\"https:\/\/ttape.in\/6DBAq5JFdub\" rel=\"noreferrer noopener nofollow\">ACC<\/a> were constantly performing in line with each other since 2014. Lately, due to news updates, Ambuja has outperformed ACC in a big way. Ratio Chart is still upward sloping and showing good strength. Ambuja\u2019s outperformance is likely to continue.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Ratio-chart-of-Ambuja-and-Nifty\"><\/span><strong>Ratio chart of Ambuja and Nifty<\/strong><br><img loading=\"lazy\" decoding=\"async\" width=\"643\" height=\"249\" alt=\"Image\" src=\"https:\/\/lh3.googleusercontent.com\/hj8QaCl3ah8U7TJ6aPPDMvIG7xyEM9Af9GtAuacPa_82etH2Qc1rfX3kcky23UjFyaav--GY0FurSHsQX-el00qrpxw_ZzU1ZL5e0jNi0tMLXxvoQGT_wD8s_YnLgXtjqyYV3_9H5eY7rZf4MngawtKlTjOukVRLgPSqzr_spe8nLJT4ip4mZycfnSqwZVsHXv1zHA\"><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The formations on the ratio chart of Ambuja and <a href=\"https:\/\/ttape.in\/1OH6cySOEtb\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Nifty<\/a> are just similar to the previous Price Action chart of Ambuja. After a rally, sideways consolidation is seen on the ratio chart, which is forming a symmetrical triangle. After a massive rally, this also looks like the Pennant formation. The break out of this chart will confirm the outperformance of Ambuja over Nifty again.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Ratio-chart-of-Ambuja-and-Adani-Enterprises\"><\/span><strong>Ratio chart of Ambuja and Adani Enterpris<\/strong>es<br><img loading=\"lazy\" decoding=\"async\" width=\"643\" height=\"250\" alt=\"Image\" src=\"https:\/\/lh3.googleusercontent.com\/Jm4JyLmZoiX4xDJH-NwuuASofpZhdGs7OVXc9HCMXwgYZt_oC3qIjWz0m0iWx6379hGMSaFzMbiwlbPFr9lQ0HBI7f4uv_eRQfNzwtRXllo6vPSM52qq0liS6xmT5HKL_b1FVRMQn61DFgBNx6fo8hU1wj0QmSMtVXCE1itGmJG3-pUeYeHtYYAftmw4RfZuGLFadg\"><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><a href=\"https:\/\/ttape.in\/UC5eB9VFdub\" target=\"_blank\" data-type=\"URL\" data-id=\"https:\/\/ttape.in\/UC5eB9VFdub\" rel=\"noreferrer noopener nofollow\">Adani Enterprises<\/a> has clearly outperformed the entire market and Ambuja is not an exception. But if we look at the ratio chart of Ambuja and Adani Enterprises, it is forming a following wedge. This pattern is bullish in nature. The breakout of this pattern is seen on the chart. There is a possible outperformance of Ambuja Cement over Adani Enterprises for the short- to mid-term.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Putting-it-all-together\"><\/span><strong>Putting it all together<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Looking at the weekly chart with massive buying strength and trend line support, weekly Ichimoku set-up support offered by Tenkan &amp; Kijun conjunction and positive future cloud, the counter looks very attractive. The daily chart formation of symmetrical\/Pennant, daily timeframe price consolidation between 38.2% and 50% retracement of Fibonacci levels, and hidden bullish divergence on RSI of the daily chart also suggest the same. Finally, the Tenkan &amp; Kijun support from Ichimoku on the daily chart along with super trend support is making the counter very attractive. Ratio charts of Ambuja and ACC, Ambuja and Nifty and Ambuja and Adani Enterprises are also suggesting likely outperformance of Ambuja in the time to come. One can look at the counter from a mid-to-positional perspective.<\/p>\n\n\n\n<p><em>Statutory disclosure: Kindly note that this update is only for educational purposes. It is safe to assume that my personal position, my fund\u2019s position, my client\u2019s position and my relative\u2019s position may be open in the counter. Prefer to take the advice of your financial advisor before initiating any position.&nbsp;<\/em><\/p>\n\n\n\n<p><strong><em>________________________________________________________________________________<\/em><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Technical indicators signal overperformance for Ambuja Cement. Is it time to accumulate the stock? Here\u2019s what Kunal Rambhia of The Streets has to say.<\/p>\n","protected":false},"author":73,"featured_media":10685,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"_lmt_disableupdate":"no","_lmt_disable":"no","footnotes":""},"categories":[1770],"tags":[],"acf":[],"modified_by":"Aradhana Gotur","jetpack_featured_media_url":"https:\/\/www.tickertape.in\/blog\/wp-content\/uploads\/2022\/10\/16-October-2022-Ambuja-Cements-a-guest-article-by-Kunal-09-1.png?wsr","_links":{"self":[{"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/posts\/10677"}],"collection":[{"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/users\/73"}],"replies":[{"embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/comments?post=10677"}],"version-history":[{"count":10,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/posts\/10677\/revisions"}],"predecessor-version":[{"id":10698,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/posts\/10677\/revisions\/10698"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/media\/10685"}],"wp:attachment":[{"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/media?parent=10677"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/categories?post=10677"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/tags?post=10677"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}