Technical Call 27 November 2009

PNB (915)

Stock has formed “Bearish Engulf” bearish candle stick pattern. After crossing multiple top area of 938 level stock went down and close below its previous day’s low, which is quite bearish sign and emphasis more selling pressure on stock. Daily momentum indicator RSI, Stochastic and MACDh has given negative cross over on chart. More over stock closed well below its 3DEMA which also signifies weakness. Looking at all above statement Trader can Sell below Rs.912 with tight stop loss of Rs.920 for a Target of Rs. 892

India Cement (112)

Stock has formed “Long white candle” bullish candle stick pattern with strong volume breakout on daily chart. Stock is making continuously higher highs and higher lows after 20 November 2009 where stock has formed “Bullish Engulf” which was strong trend reversal signal. Daily momentum indicator RSI, Stochastic and MACDh are giving strong buy signal. Weekly RSI showing strength for Bull. Looking at all above evidence trader can Buy above Rs.112 with Stop loss of Rs.108.50 for a Target of Rs. 120.