Q: Do you think TCS looks weak on chart?
My answer is "NO" as far as chart is concerned. Remember, it must have nothing to do with the fundamentals.
As you can see in the Monthly charts of TCS, their isn't a "single low broken" since March 2020. Let's analyze each Month's lows.
Mar 2020: Rs 1506.05
April 2020: Rs 1650
May 2020: 1865.20
June 2020: 1981.10
July 2020: 2079.50
Aug 2020: 2216.45
Sept 2020: 2241.30
Oct 2020: 2492.30
Nov 2020: 2600.05
Dec 2020: 2624.45
Jan 2021: 2879
Feb 2021: 2880
Mar 2021: 2901.80
April 2021: TBC
Q: Can we short or will it fall if the monthly low is broken?
My answer is nope, absolutely not. The stock is still in uptrend. Trend has more importance than each particular candle's high or low. Therefore, it will require massive selling pressure and/or Fundamental Causes to make the stock fall.
Disclaimer: The views expressed in this article is of my own, you're solely responsible for any decision taken in the markets. The analysis I've shared is just for educational purposes only.
My answer is "NO" as far as chart is concerned. Remember, it must have nothing to do with the fundamentals.
As you can see in the Monthly charts of TCS, their isn't a "single low broken" since March 2020. Let's analyze each Month's lows.
Mar 2020: Rs 1506.05
April 2020: Rs 1650
May 2020: 1865.20
June 2020: 1981.10
July 2020: 2079.50
Aug 2020: 2216.45
Sept 2020: 2241.30
Oct 2020: 2492.30
Nov 2020: 2600.05
Dec 2020: 2624.45
Jan 2021: 2879
Feb 2021: 2880
Mar 2021: 2901.80
April 2021: TBC
Q: Can we short or will it fall if the monthly low is broken?
My answer is nope, absolutely not. The stock is still in uptrend. Trend has more importance than each particular candle's high or low. Therefore, it will require massive selling pressure and/or Fundamental Causes to make the stock fall.
Disclaimer: The views expressed in this article is of my own, you're solely responsible for any decision taken in the markets. The analysis I've shared is just for educational purposes only.
Comment:
I expect anyone who is reading my writings to know that there is nothing "certain" in the markets. Neither the %gain on stock nor "out-performance" or "under-performance". There is a risk and opportunity cost involved in both, buying and selling. Selling at any price can often result in "opportunity loss" when the stock moves higher and higher. Human psychology is a culprit here. For e.g. I post any stock which seems undervalued or overvalued to me on tradingview. When anyone makes money on that, they wont appreciate me "a single word". But when they lose or it results in opportunity loss, they are bound to blame me. I don't criticize any person, because I know their psychology has defeated them. At last, there is nothing like "easy money" in the markets. The survival of the fittest holds absolutely true here.