Double Top at the Peak: Is a Bearish Reversal Coming in HDFC AMCHDFC AMC has given a good upside rally of 65% and is form a double top pattern.
The stock is following a bullish trendline but the RSI divergence is creating a bearish sentiment supported by the drop India VIX.
If the stock breaks below the trendline, a bearish trade can be entered with the first target of 5440 following it to 5208.
Bullishness will only be confirmed only once the stock starts trading above 6000 levels.
There is RSI divergence on the higher time frame too and gives more convincing trade in the stock.
Entry :- Below 5809
Target :- 5440 and 5208
Stop Loss :- Close above 5927 (daily charts)
Wait for the price action and trade accordingly.
