Jeet24

#RainIndustries - About to see Rainy Days?

NSE:RAIN   RAIN INDUSTRIES LTD
The stock witnessed a massive uptick in 2017 being one of the top gainers for the year. However at the turn of the year in 2018 it has struggled to match it's own performance and has seen a good correction of over 30%+ from the highs it registered in January of this year. The stock is forming a nice Head and Shoulder Pattern however has not given a price break down yet from there. However, after 3 unsuccessful attempts today the stock has managed to give a decisive close below the 38.2% Fibonacci mark. On the weekly scale the stock seems to have given a break down but on the daily charts an important observation to be made is that when the stock reaches near 30 odd levels on the RSI , it gives a pull back.
Taking into consideration all of the above factors, one can expect a bounce round the corner but not strong enough to change its current down trend. Once a convincing close of a price break down is witnessed below 304 levels, then further rainy days can be expected of the stock.

Disclaimer - I don't own any positions on the stock.

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.