The above weekly chart shows the bullish outlook for short term. The stock retracing to 38.2%, 50% and 61.8% levels of fall from 72.80 to 31 which is corrective Impulsive leg and the retracement band placed around 47 to 57 range. The bottom of 33 - 28 range is the good support for bulls on closing basis. The stock exactly took support and started bounce back from 31 – 33.60.The correction got completed on this stock and the stock preparing for the next move. If any chances of extension even it require pullback to the retracement bands.
The daily oscillators are in heavily oversold and recovering the oversold zone with positive divergence. The candle stick pattern of last few days indicates the short term trend reversal on the charts. Minor breakout spotted on daily charts with reasonable volume.
Momentum indicators are supporting our view for short term. The current pullback likely to continue for the Target of 47 - 57 bands.
No comments:
Post a Comment