Technical Calls 22 December 2009
IVRCL (349)
After making double bottom at 335 zone stock has formed “Bullish Engulf” bullish candlestick pattern on daily chart. More over second day of above pattern is “White Opening Marubozu” which gives more advantage for bull in coming days. Daily Momentum indicators RSI, Stochastic and MACDh are giving positive divergence on daily chart. Trader with moderate risk Appetite can consider buying at Rs.349 level with stop loss of Rs.342 on closing basis for a Target of Rs.361.
After making double bottom at 335 zone stock has formed “Bullish Engulf” bullish candlestick pattern on daily chart. More over second day of above pattern is “White Opening Marubozu” which gives more advantage for bull in coming days. Daily Momentum indicators RSI, Stochastic and MACDh are giving positive divergence on daily chart. Trader with moderate risk Appetite can consider buying at Rs.349 level with stop loss of Rs.342 on closing basis for a Target of Rs.361.
BRFL (184)
After making dark cloud cover in early December stock was continuously in down trend and formed double bottom at 175 zone. Yesterday stock has formed “Morning Star” strong bullish candlestick pattern on daily chart. Daily Momentum indicators RSI, Stochastic and MACDh are giving positive divergence on daily chart. from above all combination it seems that worst for the stock is over and trader with moderate risk appetite can Buy above Rs.185 with tight stop loss of Rs.181 on closing basis for a Target of Rs.195.
Tata Steel (556)
Stock has formed “Bearish Engulf” bearish candlestick pattern on daily chart. More over stock has broken mid July trend line support of 560 level. Daily Momentum indicators RSI, Stochastic and MACDh are giving negative divergence on daily chart. More in bear evidence stock is well below 20 days SMA which is also placed at 560 level. Looking at all above trader with moderate risk appetite can consider sell below Rs.553 with tight stop loss of Rs.560 on closing basis with target of Rs. 539-Rs.535.
Stock has formed “Bearish Engulf” bearish candlestick pattern on daily chart. More over stock has broken mid July trend line support of 560 level. Daily Momentum indicators RSI, Stochastic and MACDh are giving negative divergence on daily chart. More in bear evidence stock is well below 20 days SMA which is also placed at 560 level. Looking at all above trader with moderate risk appetite can consider sell below Rs.553 with tight stop loss of Rs.560 on closing basis with target of Rs. 539-Rs.535.
Hindalco (137)
Stock has formed “Three Outside Down” bearish candlestick pattern on daily chart. Technically reliability of this pattern is very high. Stock has minor support at 50 Days SMA at 135 level on daily chart, which is unlikely to sustain according to our study. Daily Momentum indicators RSI, Stochastic and MACDh are giving negative divergence on daily chart. Looking at all above observation trader with high risk appetite can Sell below 136 with tight stop loss of Rs.140 on closing basis for a Target of Rs.128.
