JP Associates share price made 100% gain in 1 month

Interesting to see a share doubles in less than 1 month period. If you were so lucky you would have bought this share at Rs. 10 level 1 month ago.

Technical analysis

On 25th of May the chart made a long white candle which covered previous two days losses.JP associates share made a bullish engulfing pattern on that day.


What is bullish engulfing pattern in candle stick chart analysis?

As implied in its name, this trend suggests the bulls have taken control of a security's price movement from the bears. This type of pattern usually accompanies a declining trend in a security, suggesting a low or end to a security's decline has occurred. However, as usual in candlestick analysis, the trader must take the preceding and following days' prices into account before making any decisions regarding the security.

Bullish engulfing candles indicate immense buying interest that swallows the range of the prior candlestick low and surpasses the candlestick highs. The buying action is frenzied as the candle usually closes at its highs with little to no upper wick. This in turn triggers more buyers who spill over into the next candle. If the next candle closes higher than the bullish engulfing pattern, the next leg of the uptrend usually forms.