Breakout Stocks: How ITC, SJVN and Inox Wind are looking on chart for Tuesday’s trade

economictimes.indiatimes.com:

Sector-wise, buying was seen in infra, public sector, and capital goods stocks and selling in FMCG, metals, oil & gas and banks. Stocks that were in focus on Monday include names like ITC (fell nearly 4%), SJVN (rose more than 14% to hit a fresh 52-week high) and Inox Wind (rallied nearly 12%). We have collated a list of three stocks that either hit a fresh 52-week high or saw a volume or a price breakout.

We spoke to analyst Ankit Choudhary on how one should look at these stocks the next trading day entirely from an educational point of view:Here’s what the Co-Founder of Financial Independence Services has to say:ITC ITC stock fell 4% on Monday following the news of the demerger of its hotel business. The stock closed at Rs 471.35 forming a bearish engulfing candle on the top. If it forms an Inside Candle pattern of this big bar on Tuesday, it becomes a perfect candidate for sell below Rs 468 and for a target of Rs 464 and Rs 460.

It can also continue its weakness below Rs 468 on Tuesday itself. There are simply no trades on the buy side before Rs 500 is taken out by the counter. We also await more details on its demerger scheme and the schedule of the hotel business.

Sometimes a ‘NO Trade’ is also good for protecting capital and previous gains. Always look for high-probability trades with a good risk-to-reward ratio.SJVN Green Energy SJVN gave a fresh breakout above Rs 50 levels and it also recorded a gap-up opening on Monday on the back of news of a Rs 7,000 crore project by Punjab state power corporation. If it consolidates in the range of Rs 55 to 60 for some more days and can sustain above Rs 60.