After reaching its 52 week high around 2050 levels on 30th July 2018, the stock made a strong pullback and then firstly took support at 50. Post that, a short bounce has been seen which is not well sustained and the price dragged towards below 100 and made a low of 1881 on 17th Aug 2018. On Monday i.e on 20th Aug 2018, bulls took the full control and closed well above 100 which is seen as strong support. Also the price managed to close above the short term momentum 5 .
If we see the price structure, Higher lows are formed, while formed lower lows which indicates hidden . Illustrated in the chart – red . (You can right click and save image for bigger view of the chart).
Considering the above points, stocks seems . We are expecting a short term/intraday target of 1934/1939. If the price manages to trade above 1942, Targets can be 1970/1980/1990. While stop loss shall be maintained below 1880 which is the swing low. The probability is high with a decent risk reward ratio.
Keep trailing your stop-loss once in profit.
Please note that views shared here are personal and for educational purpose. Please consult your own financial adviser before taking any trade.
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