BANDHAN BANK - POTENTIAL 3X CANDIDATE - MID TERM - BULLISH
Hi Folks,
Bandhan bank made a top in Aug 2018 and since then it is in downward trend. News regarding poor top management, high NPA, low NII and other fundamental issues has been circling around till recent past.
Now, there are few positives in their performance forecasts in con calls and rating updates. Stock might try to give a breakout from bearish territory, but solely depend on smart money coming to play. For now, the deliveries are not indicating decent accumulation but chart patterns are indicating a possible reversal.
Technical Analysis
1. There is a solid demand zone established from 2020 till date. Price has bounced whenever there is price action near this zone. Zone is marked on the chart.
2. There is a similar price action from this zone this time.
3. First, there is an immediate supply zone it has to break and absorb selling there.
4. Second, there is a falling trendline which should be broken convincingly to change the structure to HH-HL.
5. Bullish hidden divergence can be observed on weekly charts.
6.Potential targets can be 3X atleast.
Not a trading reco, please do your own due diligence.
Bandhan bank made a top in Aug 2018 and since then it is in downward trend. News regarding poor top management, high NPA, low NII and other fundamental issues has been circling around till recent past.
Now, there are few positives in their performance forecasts in con calls and rating updates. Stock might try to give a breakout from bearish territory, but solely depend on smart money coming to play. For now, the deliveries are not indicating decent accumulation but chart patterns are indicating a possible reversal.
Technical Analysis
1. There is a solid demand zone established from 2020 till date. Price has bounced whenever there is price action near this zone. Zone is marked on the chart.
2. There is a similar price action from this zone this time.
3. First, there is an immediate supply zone it has to break and absorb selling there.
4. Second, there is a falling trendline which should be broken convincingly to change the structure to HH-HL.
5. Bullish hidden divergence can be observed on weekly charts.
6.Potential targets can be 3X atleast.
Not a trading reco, please do your own due diligence.
Trade active:
Seems to be breaking out, weekly candle looks good so far.