1. Major Support =1st - 700, 2nd - 630. Major Resistance - 800.
2. Past Trend - Was in Uptrend and broke major resistance 800, failed to sustain above it.
3. Current momentum - In down, even after such a big fall from 867 to 714 the bounce was very weak from 714, failed to test even 50% to 800.
4. Overall market - Correction is going on, and i am expecting one more down move in Bank Nifty before we test previous high again.
Conclusion -
1. Current momentum is down in Axis bank, overall market is also going through correction, in fact Axis bank is even weaker than market.
2. So my expectation is that Axis bank is more likely to fall and test 700 zone.
3. Momentum in up will be only if it sustains above 770 but this should not be used to go long, use that up move to book profits or exit long position.
Trade setups - 1. Short if it sustains below 745. 2. I will not be looking for buying in this as it is very weak, any up move will be sold.
Stock will retest the long tail formed at 720..Already took a short position..This stock is not going above 800 this month..
NaveenGr
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@tksthathachari, yes, test of 720 is most likely to happen. I would not go long in this as of now, and if i had long position in this would exit below 745 or on any test of 790.
Though less probable but i am also prepared for up move as anything can happen in market.