DMART | Pole and Flag | Latest stock market news(3 minutes read)

Stock name: DMART

Pattern: Pole and Flag

Time frame: Daily

Observation: The stock was in a downtrend since October 2021 but recently it has started to consolidate and move upwards. We can also see a double bottom formation in the chart, which is bullish pattern after a downtrend / down move. Currently the stock has made a pole and flag pattern and has broken out of the same. Generally, after such a breakout, price travels the distance equal to the size of the pole, being considered from the lower end of the flag. Also, important to note that there is a resistance around 4230 levels, a closing above which we can see some good momentum in the stock.

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Disclaimer: This analysis is purely for educational purpose and does not contain any recommendation. Please consult your financial advisor before taking any financial decision.

News for the day:

1) Q1 FY23 result update: Relaxo Footwear

Revenue down 5% and PBT down 35% on QoQ basis.
Operating profit margin down to 13% from 16% in the last quarter.
Going forward, the company expects steady revenue growth with improvement in margins due to settling down of the raw material prices as the global unrest settles down.
Further, the Company has fixed Thursday, August 18, 2022 as Record Date for the purpose of determining shareholders eligible for final dividend (for Financial Year 2021-22), if approved by the Members in the AGM. The dividend declared is Rs. 2.5% per share.

2) India is rapidly emerging as a preferred country for foreign investments in the manufacturing sector, the commerce ministry said. FDI Equity inflow in Manufacturing Sectors have increased by 76% in FY 2021-22 (USD 21.34 billion) compared to previous FY 2020-21 (USD 12.09 billion). Despite the ongoing pandemic and global developments, India received the highest annual FDI inflows (across sectors) of USD 84.835 billion in FY 21-22 overtaking last year's FDI by USD 2.87 billion.

3) RITES Limited: The company has said in a regulatory filing that “The Board of Directors have declared first interim dividend for the Financial Year 2022-23 of Rs. 4 per share. The record date is August 05, 2022."

4) Bank of Baroda, DCB Bank, IDFC First Bank, Indian Bank, Godfrey Phillips and MCX India are amongst the companies that will be declaring their results tomorrow.