Besides the Auto sector, Chemicals is the only sector getting into Momentum now.

Chemical Sector

YTD Performance

A YTD analysis of 24 stocks in chemical sector vs Index made with equal weight of top 10 companies based on market cap.

The chart shows SolarInds (explosives manufacturer) to be the sector leader with a YTD gain of around 38% while SPLPetro and Pidilite which are at #2 and #3 positions are far behind.

This usually is the mark of a sector leader which is also called a “Model Book Stock” or a True Market Leader (TML).

Solar Industries

Weekly Chart

Solarinds has been into medium term momentum since Aug’23 when the price was around 4600. It gave a Stage-2 breakout in Oct’23 with the break of Pivot at around 5000. This is where Institutional investors get interested in the stock.

As the stock continues its Stage-2 journey upwards, the retailer entry point would be on the Pennant break above 7000. The stock has moved 30% already from here but this would just be the beginning.

I would love getting into the stock straight away as the ideal entry price was at break of Pivot on D chart at 9290 and the stock hasn’t moved too far yet.

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