There is a possibility to trade Broadening top pattern. RSI is forming divergence also confirming weakness in the stock. Shorting now with Stop Loss just above the high made recently.
NSE:HINDZINC
RSI Making lower lows, Momentum does not
agree with price.
soon we can sharp move downside.
avoid buy at 52week high levels
Sell Range - Rs282 to Rs287
Stop Loss - Rs296
Target 1 - Rs255
Target 2 - Rs240
Strategy will be to go for PE options (safe side buy Jan Puts rather than Dec Puts)
Futures sellers strict stoploss.
first we saw couple of bearish engulfing pattern over there and then we saw the dark cloud cover there both at the resistance area and negative divergence there prefer to short the stock
HINDZINC Will we get a breakout here.
Today it closed in green with huge Open Interest.One can go long on break of channel.
Target 1- 256
SL- 241.80
Conditional Buy, hence keep an eye on charts.
