Media and Entertainment industry has been hot favorite since late 2014 and we have seen all stocks from the segment emerging out as multi-bagger. One of the stock which had initiated rally in sector was Eros international which moved from almost 140-640 in just a years time who was joined by other stocks like PVR and Inox Leisure. At current date PVR is doing the best followed by Inox Leisure and Eros is last because of a strict Sell-off late last year on accounting scandal allegations. But now i am getting a strong feeling of entering Eros again for 3x movement minimum from here. There are few factors which are giving me strong bias on my view. To start with most crucial point, its about accounting fiasco allegation which its US holding company was facing has been put down after respective appointed committee cleared them after investigation. So fundamentally is surely convincing to investors and analysts who has lost hope in management. Few reports even say that corrected practices would be more profitable to indian counterpart in terms of Revenue per user from ErosNow app.  Secondly this Calendar year they are entering almost 4 new India regional movie segments which could add some large portion to Gross sales. Concluding fundamentally, they have almost 65 releases this year in 5 different languages which just 2x their sales from last financial year if everything goes as planned

Coming to technicals, I just spotted most dependable reversal pattern on weekly charts i.e., Inverted H&S. Though we have just kissed Neckline this week, but there are all chances of getting a breakout over the same next week. Weekly indicators are oversold and have just turned bullish by having internal crossovers to their respective averages. Thirdly, as marked on bottom of the charts, volumes have been rising in last three weeks supporting upside price movement. Fourthly, as circled we had got a Morning star pattern before 2 weeks and its confirmed with two weeks close above the same. 278 is resistance as marked with red line as it was the levels where most volume in a week while falling had taken place which could mean it could act as a supply zone. So now all factors is suggesting a sure Buy for long term but medium term trade could be taken on Technical breakout next week.

Strategy for medium traders: Buy above 219  with targets 278/349 sl: 172

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