Targets : 400-420-435 Buy range : 370-380 Stoploss : 350 Duration : 4-5 weeks
Outlook :
Attached weekly chart of Indian Oil Corporation, a participant from a refinery sector, is implying that the stock is about to pull off from its major support zones.
Stock’s seems to be finishing its groundwork at or near levels of 360-370 on the basis of following parameters:
The 50% retracement of the previous upmove from 281.70 (November 2014) to the crest of 450.90 (May 2017) is placed at 367 levels.
Long term 200-EMA is placed at 367 levels as per daily chart.
“Bullish Harami Candlestick” pattern was visible till previous close on weekly charts (shown in green circular object) with surge in volumes, the above said pattern is considered to be a trend reversal pattern, giving investors the buy signal indicating that the bear run is over and bulls might gain the control over the stock.
Moreover, 14-Period weekly RSI is turning up from above oversold trajectory, Slow stochastic has already given a buy signal.
We strongly believe the stock has potential to move from here and achieve the levels on the higher side, thereby recommend a Buy in this particular stock as per levels mentioned above.
Outlook :
Attached weekly chart of Indian Oil Corporation, a participant from a refinery sector, is implying that the stock is about to pull off from its major support zones.
Stock’s seems to be finishing its groundwork at or near levels of 360-370 on the basis of following parameters:
The 50% retracement of the previous upmove from 281.70 (November 2014) to the crest of 450.90 (May 2017) is placed at 367 levels.
Long term 200-EMA is placed at 367 levels as per daily chart.
“Bullish Harami Candlestick” pattern was visible till previous close on weekly charts (shown in green circular object) with surge in volumes, the above said pattern is considered to be a trend reversal pattern, giving investors the buy signal indicating that the bear run is over and bulls might gain the control over the stock.
Moreover, 14-Period weekly RSI is turning up from above oversold trajectory, Slow stochastic has already given a buy signal.
We strongly believe the stock has potential to move from here and achieve the levels on the higher side, thereby recommend a Buy in this particular stock as per levels mentioned above.