Nifty & Stocks to keep an eye on for this week’s trading – RSI Edge Analysis
Ashok Leyland – The stock is in a dominant trend up. Last week a hammer was formed which indicated buying. This hammer was followed by a bullish engulfing candle.
RSI is taking support at bull extreme zones. The stock is expected to move up. A daily close above 153 will serve as a confirmation of the move up. The targets for buyers will be 168, 177 and 189. However a move below 145 will be negate the bullish nature of the stock.
Cholamandalam Finance – The stock took support on the previous breakout levels. A bullish candle on the levels confirms the presence of the buyers in the stock.
The RSI I is also taking support at the bullish extreme levels (to learn more above RSI trading CLICK HERE) on the weekly charts. A close above 1595 levels (on daily basis) may take the stocks to 1655, 1705 and 1770 levels. A move below 1470 levels will negate the bullish pattern in the stock.
HDFC Limited – The stock has been forming a base. A consolidation at the breakout levels is further supporting the bulls. The pin bar formed at support will further enhance the strength in the stock.
The momentum is bullish and RSI is taking support. The prices are expected to move up to 1940, 1990 and 2045 levels. A daily closing above 1860 will confirm the targets. A move below 1780 will negate the bullish pattern.
Nifty – The index formed a spinning top at the 20 sma levels. This spinning top was formed on high volumes. A move above 10755 levels will be a continuation of the positive moves in the Nifty.
Nifty is all set for 10775 & 10880 as long as it trades above 10650 levels. However below 10565 Nifty may test 10460 levels.
Bharat Jhunjhunwala MFTA, CMT, CFTe, MSTA