1. Stock name: Eris Lifesciences Ltd.

Pattern: Cup and handle pattern

Time frame: Monthly

Observation:

Listed on the NSE in 2017, the stock has exhibited price fluctuations since then and moved in a sideways pattern. Notably, from May 2018 to September 2023, it formed a cup and handle pattern on the monthly chart. In September 2023, the stock successfully broke out of this pattern, backed by higher-than-average trading volume. Subsequent to the breakout, the stock is on an upward trajectory. As per technical analysis, if the stock is able to maintain the present momentum it may continue its upward movement.

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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.

2. Stock name: Suprajit Engineering Ltd.

Pattern: Head and shoulder pattern and retest

Time frame: Daily

Observation:

Between January and July 2023, the stock trended upwards, but post-July, it experienced a decline. From May to October 2023, a head and shoulders pattern emerged on the daily chart, breaking out in October with above-average trading volume. Following the breakout, the stock continued its descent. Subsequently, a retest occurred, and now, having completed the retest, the stock is once again on a downward path. The RSI supports the indication of continued downward movement. As per technical analysis, the stock may continue its current movement if it is able to sustain this momentum.

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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.

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News for the day:

1) JSW Steel has completed its Rs 750 crore strategic investment in JSW Paints, acquiring approximately 12.84% of the issued and paid-up equity capital (11.85% on a fully diluted basis). The investment, authorized in tranches from FY 2021-22 to FY 2024-25, concluded with the last tranche of around Rs 75 crore on November 22, 2023.

2) L&T Finance secures a $125 million loan from the Asian Development Bank (ADB) to support rural and peri-urban financing in India, with a special focus on women borrowers. The funds will allocate 40% to women borrowers and the remainder to support farmers, MSMEs, and loans for items like new two-wheelers.

3) The USFDA issues a warning letter to Cipla, citing significant manufacturing violations at its Pithampur plant, including failure to investigate discrepancies and lack of conformity to Current Good Manufacturing Practice (CGMP) regulations. The letter emphasizes the company's inadequate procedures to prevent microbiological contamination and the need for executive management to ensure comprehensive compliance across global manufacturing operations.