Heromoto more selling on cardsHero Moto can go more down as market is also indication more downside.
Reasons For Trade-1.Descending Triangle pattern formed on Hourly Chart
2. Price has resisted from trendline Resistance
3.Bearish candlstick pattern formed on daily chart
4.Rounding top forming on 4 Hour chart.
5.Price once breaked support of 2530 which is weak now.
6. Risk Reward-1:2
Sell below 2540 Stoploss 2581 Target 2475 Intraday 2355 Positional
Heromotocorp
Axis will land on 2013 trendline at 585Axis can go further down
Reasons for trade- 1. Axis is downtrend on daily as well as weekly chart
2.Support is formed at 640 on 4 hour chart
3.Price approaching towards the 2013 trendline
4.Rounding top patter is getting completed on daily chart
5.Risk Reward 1:2
Sell below 640 Stoploss 676 Target 600 Intraday 585 Positional
Heromoto More selling on cardsSell Below 2540 Stoploss 2570 Target 2490-2450 Or Sell near 2580 Stoploss 2610 Target 2500-2450
Reasons for trade- 1.Price in near to channel resistance
2.Price formed bearish candlstick pattern on daily chart
3.Multiple time support touched at 2540 levels
4.Risk Reward 1:2
NIFTYAUTO | 7000 Support of Last ResortNIFTYAUTO index has been on a downtrend traversing through key supports. Now 7000 seems to be the support of last resort for the index.
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Automobile Sector - Leading and Outperforming Companies (3)As per the Auto Index chart, it is consolidating in a downward diagonal channel, but there are companies in auto sector, (industrywise) which may outperform due to their strong fundamentals.
In Automobile Sector - Leading Companies Industrywise
1. AshokLeyland (Commercial Vehicle)
2. Jamna Auto/Automotive Axles (Auto Ancillaries)
3. VSTTractors/ Escorts (Tractors)
4. Maruti (Cars)
5. Eicher Motors /Hero Motorcorp (Motorcycles)
They above listed have consistent profits, good growth and almost no debt.
HERO MOTOCORP: Wedge breakoutHero MotoCorp has been in down trend for the last couple of years. It has been consolidating at a strong support zone forming a wedge over the last 4 months.
The wedge is now broken. It is certainly worth confirming the breakout is sustainable and then join the LONG ride!
Hero Moto : Trendline SupportHero Moto is standing at trend line support of 2450-2460. It has still not come out of downward momentum but 2460-2470 can be used to initiate a risky buy position with stop loss 2410 for 2700. Overall 1st sign of reversal will be seen only above 2595 and 2nd above 2760.
If it doesn't come to 2460 and before that move past 2595 then buy with stop loss of 2540 for target of 2720.