How to Trade CHOLAFINHow to Trade CHOLAFIN
📊 Technical Overview:
Current Price Action: CHOLAFIN opened at 1505 and closed at 1574.5, showing a positive movement from the previous day’s close of 1530.6. The stock has formed a strong Bullish Engulfing pattern, suggesting potential upward momentum.
Key Indicators: The stock is currently trading above its 50-day EMA (1479.28) and 100-day EMA (1428.41), indicating a short to medium-term bullish trend. However, it's still below the 200-day EMA (1378.76), which could act as a long-term resistance.
Volume Analysis: There was an increase in trading volume (2446096) compared to the previous day's volume (1385877), indicating rising interest.
🔍 What to Watch:
Resistance Levels: Keep an eye on the R1 (1609) and R2 (1643) levels, as these could act as key price targets if the stock continues its upward momentum.
Support Levels: On the downside, S1 (1523) and S2 (1471) could act as important support zones. A move below these levels could indicate a potential reversal or consolidation.
Bullish Patterns: The stock has shown a Bullish Piercing pattern and is trading with a strong bullish candle, suggesting potential for a continued uptrend in the short term.
🧠 STWP Insights:
Momentum to Watch: With RSI breakout signals emerging and a bullish VWAP (Volume-Weighted Average Price) setup, CHOLAFIN could see further upward movement. The stock may be a candidate for swing trades if it continues to maintain its momentum above the 1523 support.
Possible Demand Zone: If the stock dips, consider looking for a potential entry in the 696.50-701.95 range based on previous support zones.
📌 Disclaimer:
This post is for educational and informational purposes only. It does not constitute investment advice or a recommendation. Please consult your financial advisor before making any investment decisions. STWP and this post are fully compliant with SEBI regulations and promote responsible market learning.
