Wipro - Short Term Trade Setup

Wipro daily chart is showing negative divergences with MACD and Stoch RSI. Today's Close is at 490 which is very near to resistance of 500. Also, possible pullback can be expected considering the today's close just above the boundary of upper Bollinger band.

These 4 reasons indicate the price pullback in next 2 trading days. Prices may test the resistance of 500 and then drop back to 470 levels.

Trade Idea = > Short Wipro below 487, target - 470, stoploss - 505.

Comment:

Today, price could not penetrate beyond 492 level. Tomorrow might be a great opportunity for short. Prices dropped in last 20 minutes probably due to hit stoplosses applied on buy positions.

Short below 487. All the best.

Comment:

Strong resistance observed at 495 level with huge volume in Wipro. Also, prices were rangebound in this week between 487 to 496. Extremely tight range to trade.

But not bullish signal yet on charts. Next week as well, short the stock with stoploss above 500 level.

Targets on downside ;

Target 1 - 490.5
Target 2 - 487
Target 3 - 470

Let's see. :-)

Comment:

Great =

Target 1 and 2 reached as expected in this week.

Target - 3 should be met in this week.