Maruti Suzuki Potential Reversal Candidate

Auto Sector has been in downtrend from its high of 11000, however it has taken some pause at resistance turned support levels around 9400. If Nifty Auto Index moves further up to 10,000 level, reversal in sector trend may be confirmed.

We see RSI bullish divergence on daily charts. Daily RSI is also above 50.

Go Long on Maruti Suzuki above 6950 as it breaks downtrend line as well as 20 DMA.

T1 = 7300, T2 = 7700 and T3 = 8200
Stop loss - 6500

Trade active:

One can take a reversal bet on Maruti Suzuki as it is showing signs of reversal. Trading above downtrend line and 20 DMA.

Buy @6700 with Stoploss 6500

Trade active:

Stock is seeing some resistance at 6850-6900 range. Once crossed, it may move above 7k. Nifty auto Index continue to support.

Trade active:

Short term trend is up for Maruti. Looking forward to our first Target - 7300

Trade active:

Moving the stop loss to 6885.

Trade active:

Moving the stop loss to 6950.

Trade closed: stop reached