Tata Elxsi, JSW Steel: Trading strategies for stocks near 52-week high

The OFSS counter is heading towards Rs 3,600-mark as per the weekly chart.

On Friday, a number of stocks hit their fresh 52-week highs or were hovering around their one-year peaks in the morning deals. In comparison, the benchmark S&P BSE Sensex was quoting 0.28 per cent higher at 40,673.25 levels.

Let's take a look at what charts indicate for some of the stocks that are trading around their 52-week highs.

Tata Elxsi Ltd (TATAELXSI): The stock has doubled in the last four months indicating a strong momentum and a positive sentiment, which is likely to stay highly optimistic going ahead. Till the counter trades above Rs 1,400 levels, the medium term perspective indicates a rally in the direction of Rs 2,000 levels. The Relative Strength Index (RSI) is gaining elevated response from the stock price in the overbought condition. This reflects corrective moves witnessing buying and accumulation, as per the daily chart. CLICK HERE FOR THE CHART

Phillips Carbon Black Limited (PHILIPCARB): This counter has conquered the 200-weekly moving average (WMA) decisively that suggests that the upside bias is here to stay. The medium term outlook shows a move towards Rs 180 levels. The current 200-WMA is located at Rs 134 and this stays as a support level on the closing basis. The price rallied upward with subdued volumes, which indicates underlying strength in the stock. CLICK HERE FOR THE CHART
 
ACC Limited (ACC):  A clear trendline breakout at Rs 1,525 on the monthly chart denotes a rally toward the next trendline resistance, currently placed at Rs 1,740 levels. The volumes have been rising consistently above Rs 1,500 levels. This indicates the interest of market participants that led to a breakout. A closing basis support stays at Rs 1,550 levels with price inclined towards immediate hurdle of Rs 1,740 levels with a positive crossover of RSI. CLICK HERE FOR THE CHART
 
JSW Steel Ltd (JSWSTEEL): The price is consistently climbing “higher high” holding a strong support of 50-DMA, currently placed at Rs 287 levels. As the stock conquered the significant resistance of Rs 300 levels, the price saw a sharp upside that showcases a rally towards Rs 360 and Rs 375. The overall trend is highly bullish with corrective moves witnessing buying momentum till Rs 310 levels. CLICK HERE FOR THE CHART
 
Oracle Financial Services Software Limited (OFSS): As the counter manages to absorb all the selling pressure emerging above Rs 3,200 levels, the price is heading towards Rs 3,600-mark as per the weekly chart. This also implies the relevance of volumes which have been supportive of the breakout. Going forward, till the stock holds Rs 3,150 levels on the closing basis, the upside bias may strengthen even further.  CLICK HERE FOR THE CHART