As I was going through the results from my scans, I noticed these two Indian-based standouts with undeniable strength. What’s interesting is that the Bombay Stock Exchange has just broken down from a symmetrical triangle chart formation.
Rediff.com (REDF) is one of those stocks that has the capability of making big moves. Since it went IPO at $28/share in 2000, it’s had wild, volatile swings and fell all the way to .21 cents per share in 2002. Then it went on another big run to $33.75/share in ’06, back down to $1.40 a share in ’09. It’s starting to perk up and I see resistance on this stock around $10, and while it’s slightly overbought at this time, it’s definitely one to watch.
Sify (SIFY) is close to breaking out to multi-year highs and could go into momentum mode when that happens. Watch for a new weekly closing high to ensure the chances that the breakout will hold.
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Disclosure: No positions