Hindustan Unilever Futures

[Alchemist]

The stock was up 10% yesterday and everything is being blamed for it - product price hikes, short squeeze in futures, adjustments done to overseas indices etc.

Interestingly. the open interest was also up sharply. Today the open interest has increased further. Usually a stock going up with increasing open interest is considered bullish.

Any guess where the stock will close today?

Do you think the stock will spike up again today as it did yesterday?

 

[arcus]

I wouldn't want to trade HUL. The price action after 26th April has been weird. I stay away from stocks exhibiting weird technicals.

 

[Alchemist]

On Thursday and Friday (18th and 19th), the open interest came down. On both days the price corrected significantly from the day's top.

It seems that the stock is ready for a sharp correction.

Note: For HUL, a 4%-5% correction is a "sharp" correction.