AJANTPHARM MADE DOUBLE BOTTOM IN WEEKLY AND DAILY CHART, IN WEEKLY AND DAILY CHART, MADE HAMMER CANDLE AFTER DOWNTREND WHICH MEAN SELLER ARE EXHAUSTED, RSI AT 29, ADX IS SHOWING POSITIVE DIVERGENCE, I THINK IT WILL TEST 21 EMA, POSITIONAL VIEW FOR THIS FEB CONTRACT 1ST TARGET = 1040 AND SECOND TARGET IS 1100
It has been observed that the price action was deeply pushed down without much change in the fundamentals of the company. It may just be called as healthy correction and now the correction reached to a strong support zone which has been previously tested, therefore there is high possibility that the buyers will come at current levels and will further control over...
Ajanta Pharma was forming lower highs and lower bottoms, it has broken out of that trend and is now moving up in a channel. Long with Tgt 1780. SL: Close below lower trendline.
Disclaimer: I am a novice at charting and this chart is for educational purpose only. Views and opinions are welcome.
It is been observed on the daily chart that the price action forms a Bearish Head and Shoulder pattern where sellers are active in the market and put much pressure on buyers to push prices down. Now it shall further move down as the pattern indicates.
Target 1: 1800
Target 2: 1785
Target 3: 1760