Sbinforecast
SBIN | Triangle pattern observedTriangle pattern observed in SBIN. Pattern looks to have confirmed suggesting a bearish outlook. Target depth of triangle is around 25 points. With confirmation of pattern occurring at 347.50, Target of the pattern comes in at 322.70. A retracement towards the pattern before further weakness cannot be ruled out. Notice that 334 could offer a good support.
SBIN | Monthly Close Holds the KeyRecent bullishness and last week close above 350 levels in SBIN warrants more attention.
325 to 350 region has been a zone of uncertainty with many failed breakouts.
It should be noted that ATR during last week was around 18. The stock moved into a historical supply zone with 2ATR move of 35 pts. This calls for caution.
The current sharp move upwards was supported by overall market exuberance rather than stock specific trigger. Weekly close should be taken with a grain of salt since the event was towards the end of the week.
A comfortable close above 360 levels on Monthly time frame is required before adding to your high conviction Buy List.
