Here are some answers to readers’ queries on the performance of their stock holdings.

Please let us know technical prospects of Wim Plast in the coming 12-18 months.

Vageesh

Wim Plast (₹814.8)

The stock is in an uptrend in all time frames. Following a narrow sideways movement between ₹575 and ₹650, the stock skyrocketed 33 per cent in the previous week. Its daily and weekly indicators and oscillators are featuring in the overbought level and are projecting a short-term trend reversal. Hence, investors sitting on profits can consider booking them at this juncture and re-enter at lower levels. A tumble below ₹750 will drag it down to ₹650. Subsequent supports are at ₹575 and ₹500. Further, break of ₹500 will mitigate the stock’s medium-term trend and pull it down to its long-term support band between ₹400 and ₹410 in the ensuing months.

On the upside, if the support at ₹750 holds, the stock can move northwards to ₹873 and ₹900 levels.

I am holding Binny Mills. It was listed at the price of ₹3500, but is now trading around ₹500. Should I hold them or sell them? I’m also interested in purchasing TNPL. Kindly advise.

Parameswarappa S.

Binny Mills (₹436.7)

Since its listing in late May 2013 at ₹3500, the stock has been on a downtrend. It has been moving from circuit to circuit without giving any opportunity to buy or sell. Therefore, exit the stock and invest in blue chips which look promising now. From November 2013, the stock has been moving sideways in the band between ₹300 and ₹650 levels. A move above ₹650 can take the stock higher to ₹1000. On the downside, it will be difficult envisage where the stock’s next halt will be if it were to fall below ₹300 levels.

Tamil Nadu Newsprint & Papers (₹148.5)

TNPL has bee on an intermediate-term uptrend since taking support at ₹85 in September 2013. Last week, the stock moved out of a sideways range by gaining 11 per cent, creating buying opportunity for investors with a medium-term perspective with a stop-loss at ₹130. Targets are ₹160 and ₹180. Strong rally above ₹180 can take the stock up further to ₹200 in the long-term.

However, a fall below ₹135 will alter the stock's shot-term bullish view and drag it lower to ₹120 levels. Intermediate-term uptrend will stay in place as long as it trades above ₹120. A decline below this level will mar the uptrend and the stock can witness a fall to ₹110 or even to ₹100 in the medium-term.

I have bought shrares of Shakti Pumps at ₹90. What is the long term view?

Rakesh Kabra

Shakti Pumps India (₹149.1)

You have timed the entry well in the stock of Shakti Pumps. The stock has surged 65 per cent since your purchase. Moreover, since this has happened in a short span of time in two weeks, the stock is ruling at overbought levels. Also, the stock has now encountered its long-term resistance at ₹160, from which it had reversed downwards in July 2010. Therefore, book profits at this juncture and also switch to some other stock. A rise above ₹160 can take it northwards to ₹180. But a slump below ₹120 will mar the stock’s medium-term uptrend and pull it lower to ₹100 or to ₹70 in the long-term.

Does Firstsource Solutions have the potential to break the ₹33 barrier in the short term? Prasad

Firstsource Solutions (₹30.8)

The stock has a fifty-fifty chance of breaching the resistance at ₹33 in the short-term as long as it trades above ₹26. After testing this resistance level in late April, the stock fell sharply. Nevertheless, it was buttressed at ₹25 and is once again looking up for testing it. A strong breakout of the hurdle ₹33 will take the stock to ₹36 and then to ₹40 in the medium-term. On the other hand, a decline under ₹26 will pull the stock down to ₹22 and to ₹19, reducing the probability of breaking ₹33 level.

Please give technical outlook on Torrent Power after the recent up-move. Is it good to hold the stock or sell at current level? Ajit Bokdia

Torrent Power (₹158.8)

Long-term downtrend of Torrent Power came to an end in September 2013, at ₹70. Subsequently, the stock has bottomed out and has since been on an intermediate-term uptrend. It conclusively broke though a key resistance at ₹130 by gaining 23 per cent in the previous week. With this, the medium-term outlook is bullish with minor corrections; the stock can reach ₹190. You can consider holding the stock with a stop-loss at ₹125 levels. The stock needs to emphatically break past the long-term trend-deciding resistance at ₹220 for an up move to ₹250 levels.

Conversely, a fall below ₹130 will pull the stock down to ₹107 and then ₹100 in the medium-term. Next key long-term support is in the band between ₹80 and ₹84.

Send your queries to >techtrail@thehindu.co.in

Quickly

Shakti Pumps surged 65 per cent in last two weeks.

The stock has key long-term resistance at ₹160.

Book profits of the table at current juncture.

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