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United Spirits, Radico, Jagatjit Ind: Strategies for liquor-related stocks

Liquor, wine, Alcohol
Shares of breweries & distillery-related companies gained ground on Monday, after the government allowed the opening of liquor shops from today with certain conditions. GM Breweries, Associated Alcohols & Breweries, Radico Khaitan, Globus Spirits and United Breweries and United Spirits were up in the range of 4 per cent to 11 per cent in the intra-day deal today. READ ABOUT IT HERE

Are stocks from this sector a good trading bet? Here are the key levels you should know regarding frontline stocks from this sector.

United Spirits Ltd (MCDOWELL-N): The counter is forming “Cup and Handle” pattern in the daily chart, which has a neckline breakout at Rs 580 levels. The overall trend looks positive as Moving Average Convergence Divergence (MACD) is nearing the zero line. The immediate support comes at Rs 525 and then at Rs 515 as per the formation. CLICK HERE FOR THE CHART

United Breweries Limited (UBL): This stock needs to scale above Rs 1,000 levels for the next leg of upside. The selling pressure has been immense in the range of Rs 970 to Rs 990 in last few sessions, as per the daily chart. The counter remains in “no trade zone” and the major breakdown support remains at Rs 850 levels.CLICK HERE FOR THE CHART

Radico Khaitan Ltd (RADICO): The 200-days moving average (DMA) has a great significance for this counter. It did manage to conquer the same in recent sessions, though the stock witnessed strong selling pressure soon after. That’s said, it can move up significantly above Rs 340 levels, which the counter is attempting to break now. The major support stays at Rs 280 levels and overall trend appears to be bullish. CLICK HERE FOR THE CHART

Som Distilleries And Breweries Ltd (SDBL): Although this counter is in “trade-to-trade” segment, it is still showing stability above Rs 70 levels. This support may further drive the prices towards Rs 84 and then Rs 90 levels. The MACD is crossing the zero line upward, as per daily chart. CLICK HERE FOR THE CHART

Khoday India Limited: The stock does not see much trading volume on a daily basis and trading in such stocks is a risky affair. However, the trendline breakout at Rs 57 may trigger an upside as per daily chart. Immediate support comes in at Rs 55 levels. CLICK HERE FOR THE CHART

Jagatjit Industries Ltd: The counter needs to cross the resistance level of Rs 27, as per daily chart. Till the counter trades above Rs 22, the positive bias may prevail. CLICK HERE FOR THE CHART



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