BHEL SWING TRADEBHEL embarked on a robust uptrend post-June 2022, surging by an impressive 100%. However, after this remarkable rally, it underwent a consolidation phase, retracing by 28%. During April 2023, it formed a compelling double bottom pattern, signaling a potential trend reversal.
The stock exhibited a notable breakout with a surge in volume over 100 days, propelling it upwards by 20% in a decisive rally. Revisiting its double bottom pattern high, BHEL displayed strength by initiating another clean rally, marking an additional gain of almost 30%. This rally broke the lower low lower high pattern, indicating a shift in momentum towards a sustained uptrend.
As the uptrend persisted, BHEL established a demand zone, later breached by a hammer candle accompanied by a breakout in volume. This breach marked a crucial moment as it shattered a significant 6-year resistance level with a strong volume candle. Following a retest of this long-standing resistance, BHEL surged past its recent high with a staggering 40% surge in volume.
Currently, the stock appears robust, showcasing signs of strength, indicating a potential target around the 200 mark. Short-term projections foresee a possible uptrend reaching the 170 to 180 price range, suggesting a potential 20% gain within a few weeks.
However, as it approaches its own 8-year high price, a slowdown in momentum might occur, as this level could present a significant resistance point. Breaking through this barrier would signal a monumental achievement, yet it might require a more prolonged and sustained effort.
ENTRY PRICE ABOVE 150
STOP LOSS BELOW 135
TARGET 180-200
The narrative provided is for informational purposes only and does not constitute financial advice or a recommendation to buy, sell, or hold any securities. It is not intended as a substitute for professional financial guidance or personalized investment advice.
The analysis outlined is based on historical price movements, technical patterns, and hypothetical projections. However, the stock market is inherently unpredictable, subject to volatility, and influenced by numerous unpredictable factors, including economic conditions, market sentiment, geopolitical events, and company-specific news.
It's important to acknowledge that investing or trading in stocks carries inherent risks, and past performance is not indicative of future results. The outlined scenarios and projections are speculative and may not materialize as expected.
