Time to Buy Real Estate Stocks

Mar 9, 2022

Brijesh Bhatia, Research analyst

At the start of the year, I said realty was one of my top sectors for 2022.

It looks like the time is right to enter these stocks.

In this video, I'll show you, with the help of 2 charts, why stocks in this sector are great money-making opportunities.

Watch the video and let me know your thoughts on real estate stocks.

Hello viewers. Welcome to the Fast Profits Daily. Myself, Brijesh Bhatia.

Russia and Ukraine War and the news every day is keeping traders in two minds. The risks of gap ups gap downs are very, very high at current point of time. Even if you look at Monday, the week started with the gap down opening on the markets and Nifty slipping below 16,000 levels. The gap is basically giving traders an unfavourable risk reward opportunities.

Enclosed: Invitation to Access Our Latest Research Project

Well, I would say, as a trader, I would slightly stay away from such kind of momentum and focus on the sector where an investment opportunity is there.

In this video, I'll be discussing about real estate which was not born yesterday. If you remember at the start of the year I have done a video on 4 January. If you haven't watched that you can go to our archives and watch it. I've stated that the two sectors, I think can be the sectors of the year are realty and infra.

 

Now if you look at the chart over here, this is the monthly chart. We broke out of the long term or a decade consolidation zone into the realty space at the start of 2022. that has been retested, I would say again, back when the markets have been slipping from the higher levels of 18,600, now towards 16,000 levels, the sector was again not let off and witnessed a correction.

But yes, it is an excellent opportunity at the re-test zone of the decade consolidation break out. And as I said, it's was not born yesterday because the break out for last 2-3 months into the monthly consolation is not a small breakout. It's a decade consolation breakout that are very, very strong when it comes to the long-term opportunities.

 

If you look at the top down approach over here and if we move on to the weekly space, if you look at the weekly chart over here, there is a bullish harmonic coming on the weekly scale which is the bullish Gartley pattern.

The reversal zone is coming here which is 410 to 390 which was again tested this week. I think this is an excellent opportunity for an investor, for the bulls, to accumulate stocks from this sector.

Also, if you look at the orange line over here, which is a weekly exponential moving average, it's giving investors confidence that the long-term average has been retested at the break out level. Plus, the bullish harmonic reversal structure has been formed.

So, I believe realty is still an excellent sector for a long-term perspective, and I still believe that 2022 can belong to an outperformance of the realty space. Again, the stock choosing will be very, very effective. Look at the stocks which are outperforming in the current fall and which haven't broken their consolidation for the last 3 to 6 months.

So you can look for those kinds of stocks which are trending higher and outperforming against the space. So again as an investor, look for this sector. Use this dip as an opportunity to accumulate the outperforming stocks and the good fundamental stocks for 8 to 10 months for probably two years perspective. I believe that realty could be one of the sectors which can give excellent returns in the in coming months.

Signing off, Brijesh Bhatia.

Warm regards,

Brijesh Bhatia
Brijesh Bhatia
Research Analyst, Fast Profit Report
Equitymaster Agora Research Private Limited (Research Analyst)

Recent Articles

Bank Nifty can Lead the Nifty to an All-Time High August 11, 2022
This is why I'm so bullish on banking stocks.
I'm Bullish on these Stocks August 9, 2022
Find out why capital good stocks are looking good from a short term and long term perspective.
Penny Stocks for 2022 August 3, 2022
This is how I look for penny stocks.
Can the US Fed Move Trigger a Rate Hike in India? July 29, 2022
If the RBI follows the Fed in raising interest rates, how will the market react. Find out...

Equitymaster requests your view! Post a comment on "Time to Buy Real Estate Stocks". Click here!