ITC Possible Descending Triangle Pattern Reversal
Updated
This is a trend based analysis of 
ITC. Price has not fallen off and has taken support at the MLY Support level multiple times. Although the pattern is almost covered by the price, it has not been bale to break the Support level. It looks like either a bullish break out is possible or strong price consolidation is taking place. As the stock is fundamentally a good value stock and only one of the big major FMCG companies to rally, it is a good point to accumulate the stocks at current price until the MLY Support is not broken with confirmation. Also, RSI is showing an uptrend movement and a value of 55 should trigger the breakout.
For those who are risk averse, note that price below 196 is complete exit which is the WLY Support zone. Keep this as SL.
Indicators Used:
RSI - default parameters
Trend lines at different timeframes.
Support - Resistance levels at different timeframes.
Disclaimer: This is not a recommendation. It is a guesstimate of where the price may be down the line. Please use this for your further analysis and based on your own analysis and risk management initiate trades accordingly. I'm posting this as a means to share and improve my knowledge and receive knowledge from others. Comments and suggestions are welcome as long as they are informative and helpful.
ITC. Price has not fallen off and has taken support at the MLY Support level multiple times. Although the pattern is almost covered by the price, it has not been bale to break the Support level. It looks like either a bullish break out is possible or strong price consolidation is taking place. As the stock is fundamentally a good value stock and only one of the big major FMCG companies to rally, it is a good point to accumulate the stocks at current price until the MLY Support is not broken with confirmation. Also, RSI is showing an uptrend movement and a value of 55 should trigger the breakout.For those who are risk averse, note that price below 196 is complete exit which is the WLY Support zone. Keep this as SL.
Indicators Used:
RSI - default parameters
Trend lines at different timeframes.
Support - Resistance levels at different timeframes.
Disclaimer: This is not a recommendation. It is a guesstimate of where the price may be down the line. Please use this for your further analysis and based on your own analysis and risk management initiate trades accordingly. I'm posting this as a means to share and improve my knowledge and receive knowledge from others. Comments and suggestions are welcome as long as they are informative and helpful.
Trade active
Continue to hold until the SR level is breached at 201.25Trade active
Continue to hold. Shift SL to 205Trade closed: target reached
Disclaimer
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