Top buzzing stock: Kingfa Science and Technology Ltd

In just one month, the stock has reported over a 50% increase in its share price.

Kingfa Science and Technology (India) Limited is a strong growth company, engaged in the manufacturing of modified thermoplastics business. With a market capitalization of Rs 1,800 crore, it is one of the most promising smallcap companies in its sector. The fundamental stats of the company are quite impressive as it has recorded above-average industry revenue growth in the past five years. Moreover, it also recorded an increase in its market share over the same period.

In one year, the stock has delivered over 115% returns to its shareholders and has outperformed the broader market and its peers. Moreover, in just one month, the stock has reported over a 50% increase in its share price. Thus, the stock has performed exceptionally well in the medium as well as short term.

On the weekly chart, the stock has seen a strong buying pressure at lower levels in the past two weeks. Moreover, the stock has given a strong breakout from its multi-year horizontal trendline last month. Such strong price action is backed by huge volumes that have been recorded during the period. On the daily timeframe, the stock has receded and formed a base near the 38.2% Fibonacci retracement of its recent uptrend. It took support of its 20-day exponential moving average before launching off about 2% today. Moreover, the technical indicators support the bullish nature of the stock as RSI has jumped over 60 to enter the bullish territory. Also, +DMI line is above -DMI line and shows the good potential of an uptrend.

The difference between its 52-week high and share price is about 8%. With its bullish nature, the stock has the strong potential to take out its 52-week high level and claim newer highs. With the stock being technically strong, traders can include this stock in their watchlist and keep a close eye on its price action for the coming days.