We can anticipate a breakdown in the Asian paint, if there is rise in price of crudeoil.
When the price of crudeoil goes up it inversely affects the prices that are dependent to it .Here is the comparison and reasoning for anticipation for breakdown :
Crude may rise up significantly with time
1) Global sentiments : Negative(EU oil embargo from Russia, China covid opening up increases demand)
2)Previous High low not broken(confirming uptrend)
3) Wedge pattern formation
Breakout will be create "significant" up move
Asian Paints chart Analysis
1)Double top formation
2)Support zone has been tested multiple time
3) Trading below 200 MA
(Note: I might have confirmation bias with trade. There is probability of me being wrong. Consult your adviser before taking any financial decision)
When the price of crudeoil goes up it inversely affects the prices that are dependent to it .Here is the comparison and reasoning for anticipation for breakdown :
Crude may rise up significantly with time
1) Global sentiments : Negative(EU oil embargo from Russia, China covid opening up increases demand)
2)Previous High low not broken(confirming uptrend)
3) Wedge pattern formation
Breakout will be create "significant" up move
Asian Paints chart Analysis
1)Double top formation
2)Support zone has been tested multiple time
3) Trading below 200 MA
(Note: I might have confirmation bias with trade. There is probability of me being wrong. Consult your adviser before taking any financial decision)