After several years of underperformance in relation to the Nifty, the BHEL stock has displayed signs of outperformance in the recent weeks. The breakout of the ratio line above its 200-DMA is a positive sign. Keep this stock in your radar.
It is been observed that the price action breaking above the resistance levels of 138 and now retracing back to it making it a support levels. Now, it is moving up to next resistance level at 144-145 levels.
Target: 145
Stoploss: 138
Here exists a beautiful W pattern buying opportunity in the stock. The second bottom has shown a divergence also. Normally the target for the W patterns are big reaching the area from where trend started, let's see how this stock moves. Good risk to reward ratio. WEducational purpose as I am not trading it.
The price action broke out from the consolidation symmetrical triangle and as per its measurement target is expeccted to reach at 145 levels.
Target: 145.40
Stoploss: 135.40
We had very good move after the ascending triangle breakout, booked some great profits out of it and now BHEL is retesting the resistance, so I'm planning to go short if we get bearish confirmation, I'm not sure what will happen on Monday, if we get Gap Up in BHEL bcos of Nifty better we can re-think this entry strategy. If it opens in one and once bearish...
