LONG in PFC on NSE (INDIA)This is weekly chart of PFC on NSE (INDIA) with CMP @ 94.75. It looks a good long trade based on observations as illustrated below:
1. Please refer the support line drawn on the chart which acted as strong support at multiple times (tested on 8th Feb 2016, 25th April 2016 & 16th July 2018).
2. Please refer strong resistance line drawn on the chart from where price rejection can be witnessed at several occasions (8th Feb 2016, 25th April 2016, 30th April 2018, 10th Sep 2018).
3. Resistance as referred in preceding point no. 2 was decisively broken on 29th Oct 2018 with good volume.
4. Price has also broken upside EMA50
5. RSI has also broken 60 indicating good momentum.
In view of above, it seems to be a good long trade with stop below 89 with target -1 (107.90) and target-2 (116.90). Target -1 is arrived by upside to the tune of difference between support & resistance as mentioned above and target-2 is near another major resistance based on price action. Stop has been suggested just below the resistance which will now act as good support.
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