daerontrading

Mahindra: The XUV 700 effect

Long
NSE:M_M   MAHINDRA &MAHINDRA
Mahindra and Mahindra has a descending triangle formation which often results in bearish outcomes. But there is huge excitement due to the XUV 700 reveal and it is promising to shake up the suv segment. So how to make money out of it. Let's see. Price has been making bottoms around the 743 mark and making lower highs following a trendline and trading at a discount from its previous high. It is taking good support on 50Ema and is trying to break this trendline for last few sessions. And there I see the opportunity. It will become bullish once it break out of the trend line and 797 resistance with volume . You can then expect it to hit, 853, 952 and 993 which would be your profit booking areas. 743 can be your stop-loss or if you want to set a hard one, make that 725. Also look at the monthly chart and you'd see a bull flag formation in the disguise of that descending triangle .

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