The stock has broken the channel. The appropriate entry should've been the opening of the second candle (ref. 2nd Mar) after the breakout.
Going by the observation, we can say that the stock is in a crucial support area. Also, the next support area is 50-80 points below the current levels so we can take a risky short at the current level of 1248 with the stop loss at the open of the current candle which is 1277 with a target of 1180-1200.
Now, why take the Risk?
1. ACC is below 200 EMA on a weekly basis.
2. MACD crossed the signal line on the Monthly & Weekly chart. (which makes the stock bearish for the upcoming period).
3. The overall trend in the markets is bearish which will support the downtrend.
Going by the observation, we can say that the stock is in a crucial support area. Also, the next support area is 50-80 points below the current levels so we can take a risky short at the current level of 1248 with the stop loss at the open of the current candle which is 1277 with a target of 1180-1200.
Now, why take the Risk?
1. ACC is below 200 EMA on a weekly basis.
2. MACD crossed the signal line on the Monthly & Weekly chart. (which makes the stock bearish for the upcoming period).
3. The overall trend in the markets is bearish which will support the downtrend.
Comment:
The chart was supposed to be uploaded in the weekly timeframe and not daily but still, the levels remain the same.
Comment:
ACC Rebounded from our support level and then went up to our resistance level only to get rejected.
Now What?
A short timeframe chart updated on the profile regarding the same, Please check.
Now What?
A short timeframe chart updated on the profile regarding the same, Please check.