Potential breaout
Looks like an interesting stock for reasons stated below:
1. The stock was striking a resistance today, could have seen a breakout but lost the momentum dearly today as the opening was flat and then we get a bearish marubozu.The stock didn't get enough volumes to breakout from its range.
2. The buying momentum in the current rally has been good due to the steep rise as evident from the charts. Also Also the low of last immediate rally was higher than its previous rally.
3. The stock has been trading in the range of 680-790 from August 2021. So the consolidation has been for long enough time. Also the stock tested 790 in the rally before last rally and now it is testing the resistance again with good momentum gives a hint of building internal strength.
4. Based on above points, I conclude that the stock may fall a bit in next wave but is is building strength and momentum for months now, so we may get a good breakout in next 1-2 months.
1. The stock was striking a resistance today, could have seen a breakout but lost the momentum dearly today as the opening was flat and then we get a bearish marubozu.The stock didn't get enough volumes to breakout from its range.
2. The buying momentum in the current rally has been good due to the steep rise as evident from the charts. Also Also the low of last immediate rally was higher than its previous rally.
3. The stock has been trading in the range of 680-790 from August 2021. So the consolidation has been for long enough time. Also the stock tested 790 in the rally before last rally and now it is testing the resistance again with good momentum gives a hint of building internal strength.
4. Based on above points, I conclude that the stock may fall a bit in next wave but is is building strength and momentum for months now, so we may get a good breakout in next 1-2 months.
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