Equity Technical Studies

Monday, January 13, 2020

Maruti Ready To Break Channel

Nowadays the market is too bullish and we have found two strong bullish stocks. One from Auto and IT sector.

Technical overview of Maruti: On 19th October 2019, Maruti has made a top around 7758.70 and shown fall till next support that is around 7000. The stock has sustained many days near the same support and made a new lower-high around 7400. Currently, the stock is trading in a channel as shown on the chart and today's price closed near the upper band of the channel. We are expecting a breakout to this channel, the reason is the auto sector is bullish and the market is making new lifetime highs on every day. We have to wait for channel breakout confirmation and can buy Maruti if it closes above 7450.

If the stock closes above 7450 then we are expecting levels of 7550/7650/7750.

Technical Overview of Tata Elxsi Ltd : We picked one stock from the IT sector and it is showing the potential to reach 1000. Below is a monthly chart of TATA Elxsi, the stock had made first shoulder & head and now it is completing the second shoulder. We are expecting a rally of 110 points from current levels i.e. level of 1000 and that is the next resistance. Also, plus point is a dollar index and it is trading near lifetime highs. And everybody knows the correlation between dollar & IT stocks.

We can buy stock from current levels i.e. 891 with stop-loss of 810 on a closing basis. Hold for the target of 1000.

Click on the below links to join our Intraday Calls channel or details of our training program.

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Disclaimer: The contents produced here are purely for educational purposes. They should not be construed as buy/sell recommendations. I am not a SEBI registered Analyst or Investment Advisor. Readers are advised to consult their Investment advisor before taking any decisions based on the above write-up.
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Sunday, January 5, 2020

Technical & Sentimental Overview Of Nifty / Banknifty (06th to 10th Jan)

Nifty 50 is trading near its lifetime high, before two weeks it has made new highs and sustaining the same from the last two weeks. These two weeks were very zic-zac, not given a chance to predict the trend. Let’s take the first technical overview of both indexes in this New Year.

Technical Overview of Nifty: Overall trend of Nifty is strongly bullish and currently in sideways. Nifty is continuing its Higher High & Higher Low trend from Indian government election result day. The last Higher High is around 12295 and we are waiting for a breakout to this level. Once Nifty crosses the level and closed above then uptrend will go ahead. However, there is immediate resistance of the weekly trend line i.e. around 12340-50. So there are slight chances of a small hurdle.

If we see a weekly chart then Nifty is not breaking down its weekly low from the last three weeks. The selling pressure was huge at the start of the week and it is recovered on the weekend. That means there is buying on every dip, traders are ready to buy discounted Nifty.

We have to wait for either breakout or breakdown then we can trade safely. Riskers can buy Nifty near support i.e. 12160 or they can sell Nifty near resistance i.e. 12295.

Technical Overview of Bank Nifty: Currently Bank Nifty is also trading in a sideways zone and closed near zone support. There is immediate strong support around 31700 and sentiments are slightly bearish. We will buy Bank Nifty near support with confirmation of the bullish chart pattern.

Click on the below links to join our Intraday Calls channel or details of our training program.

Telegram: https://t.me/Intraday_King

Website: http://money4me.in/services.html

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