GRANULES: Ready for a deep dive?

Updated

Maybe I am seeing things the way I've drawn them, but it looks like GRANULES has broken below a trend line around 330. It has had a phenomenal run once it broke out above 135 and hit life time high of 438. But the H&S pattern at the end of an uptrend is a stronger pattern as AbhishekSinghCMT has taught us. Look at the recent increased volumes also which support this. Now if this theory about H&S pattern is true, we are looking at a drop all the way to 208 levels! Scary huh?

cRSI is showing an uptick at the bottom but a stock may remain oversold for days. This view will be negated once it breaks up into the channel again above 333 levels on EOD basis. If it does, I wonder if we see 370 levels again.

Trading is a WHAT-IF business. This is just an idea I am contemplating. This is a cash only stock with no FNO space.

Note

On Hourly chart, the price is at the upper end of the Bollinger Bands, and cRSI is also near the peak. Break of 315 from below signifies more upside, while break below 295 would confirm H&S theory imho.

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Guess Paracetamol wins. A tremendous surge yesterday has broken 334 barrier and entered the channel. 360-365 is midway thru the channel which is expected to reach now. Today will confirm the breakout (or should I say break in? :)

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Well, well, well... yesterday tried hard breaking below but didn't succeed. Today levels to watch are 330 and 338. Long above 338. Short below 330

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330 broken below. Short is active now

Trade closed manually

lokhandi

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