The stock hit a 52-week low of Rs 50.10 on June 20, 2022. Closing at Rs 112 on January 3, 2023, this translates into a rise of more than 120% for him.
This momentum has pushed the share price to a new high of Rs 120 on 20th December 2022. The recent sell-off has made this small-cap stock an attractive buy as it is still trading above the neckline of the reversed head and shoulders pattern located around 100 rupees.
The auto accessories space has been exceptionally outperforming with many stocks emerging from a multi-year correction that signals a resumption of structural uptrends.
In terms of price action, the stock is trading above most of the key short- and long-term moving averages of 5, 10, 30, 50 and 100, the 200-DMA which is a positive sign for the bulls.

The Relative Strength Index (RSI) is 61.4 and is considered oversold when the RSI is below 30 and overbought when it is above 70.
“Within the pack, Nelcast is witnessing a strong breakout above the CY17 highs in December 2022, fueled by a surge in volume that signals a resumption of the major uptrend,” ICICIdirect said in a note. says.
“The key observation is that share prices have hastened the retracement of the decline (Rs 100-50) from August 2021 to June 2022, indicating an earlier structural turnaround, and we expect several Expected to outperform in May Consolidation over the past 5 years (CY17-22) resembles a bullish cup and handle pattern.
More interestingly, the December 2022 volume at breakout was the highest in a decade, validating the increase in participation and confirming the length of the uptrend.
“With a 123.6% retracement from the recent decline (Rs 119-92), we expect the stock to head towards Rs 126 in the coming months. , a strong rally in the last few sessions has now provided key support at the 92 level and strengthened the trend,” recommends the report.
(Disclaimer: Professional recommendations, suggestions, views and opinions are their own and do not represent the views of The Economic Times)