Hindustan Unilver medium to long term analysis.

17 May 2020



Hindustan Unilver limited medium term and long term analysis.

About
Hindustan unilever is an fmcg company in India.It is the Indian subsidiary of Unilver PLC.Headquartered in Mumbai.Established in 1933 by the Lever brothers.

CEO of HUL
Sanjeev Mehta,
Mehta became the CEO and MD of Hindustan Unilever in October 2013, and in June 2018 was appointed as the chairman and MD.HUL stocks even touched a return of  300% under his leadership(2014-present) ( 600 per share to 2600+ at peek).He also heads Unilever's business in South Asia, as cluster president encompassing businesses in Pakistan, Bangladesh, Sri Lanka and Nepal.

FMCG  Products by HUL





        foods
  • Bru
  • Annapurna salt and atta.
  • Brooke Bond (3 Roses, Taj Mahal, Taaza, Red Label) tea
  • Kissan squashes, ketchups, juices and jams
  • Lipton ice tea
  • Knorr soups & meal makers and soupy noodles
  • Kwality Wall's frozen dessert
  • Modern Bread,Magnum (ice cream)

  • Homecare brands
  • Active Wheel detergent
  • Cif Cream Cleaner
  • Comfort fabric softeners
  • Domex disinfectant/toilet cleaner
  • Rin detergents and bleach
  • Sunlight detergent and colour care
  • Surf Excel detergent and gentle wash
  • Vim dishwash
  • Magic – Water Saver[11][12]
  • Love & Care fabric gentle wash



  • Personal care brands.
  • Aviance Beauty Solutions
  • Axe deodorant and aftershaving lotion and soap
  • LEVER Ayush Therapy ayurvedic health care and personal care products
  • International breeze
  • Brylcreem hair cream and hair gel
  • Clear anti-dandruff hair products
  • Clinic Plus shampoo and oil
  • Close Up toothpaste
  • Dove skin cleansing & hair care range: bar, lotions, creams and anti-perspirant deodorants
  • Denim shaving products
  • Fair and Lovely, skin lightening cream
  • Hamam
  • Indulekha ayurvedic hair oil
  • Lakmé beauty products and salons
  • Lifebuoy soaps and handwash range
  • Liril 2000 soap
  • Lux soap, body wash and deodorant
  • Pears soap, body wash
  • Pepsodent toothpaste
  • Pond's talcs and creams
  • Rexona
  • Sunsilk shampoo
  • Sure anti-perspirant
  • Vaseline petroleum jelly, skin care lotions
  • TRESemmé.
  • TIGI

  • Water purifier brand
  • The Pureit Water Purifier.


Technical analysis of HUL(NSE Hindunilvr)

Hul is a nifty 50 stock,so it’s credibility is huge.The stock returned 130% in the last 5 years making it a good investment.

Hul stood strong during COVID sell off and corrected once the market recovered showing a perfect inverse correlation in the present times.

Hul saw incredible growth under the present CEO.





The momentum and structure of the stock is strong,it keeps on forming higher highs and lower lows in large time frames.







Breakouts are very rewarding for Hindunilvr,it’s clear all the breakouts gave good rewards and enough room for profit booking.The intersecting support zone is very important.That is the master trendiness of the whole trend.

Now let’s see the daily charts,



Since the stock has good fundamentals and momentum,I don’t think a bearish head and shoulders would play out,but we can’t time the market.

The possibility or probability for higher highs are more,that gives investors and bullish traders an edge.
Support can give good risk reward and amazing entry prices for investors.


Note -a weekly closing below 1900 is a sign of danger and all long term investors would be safe to book profit on such a situation.
Traders can sell or buy puts.

Now since the price is trading near 2000,aggressive investors and traders can enter with a strict weekly stop below 1900(preferably 1880).
Conservative and safe players should wait for strength and enter , that is the right 
approach here.

Short term and very short term players can scalp the support and resistance region in the chart once it aligns with the market direction.



Conclusion

This long term bull can be accumulated when it shows strength(that is creating higher highs and higher lows in daily/4 hour time frames) with a strict stop below 1900.
Or,
Option -Put 1900 can also be used for hedging if you think that this support is gone hold without exiting the position or investment.
( that is a safe game since the company fundamentals are good)

Best thing for the traders to do is patiently watch the market and play the direction of strength.Investors should hold on to their investments with a strict stop of 1900 (weekly close).




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