In continuation with last week analysis nifty not able to break above 38.2% retracement zone and again showing some weakness on chart combining this with option chain data on Call side highest OI is on 9500 level which acts as resistance if break and sustain above this level we can see 200-300 points upside move and on put side highest OI is on 9000 level break...
nifty gives rally upto 38.2% retracement till now which may acts as resistance, on hrly chart nifty making highs but rsi making higher low that is negative divergance if break and sustain above 9300 may give upside rally of 100 200 points or else we will see some profit booking.
TATA elxsi again testing its support level of 955-950. The Q3 results shows 62.77 Cr. PAT against expectations of 55 Cr. which is good in numbers. Although IT sector is under little pressure one could look for buy tata elxsi keeping stoploss of 955 on closing basis.
After huge fall from 52 weeks high stock is taking good support around 50 zone and trendline breakout along with increase in volumes , RSI positive divergance shows good buying interest at lower levels. The Next important support is aroung 46. one colud go long at CMP or on deeps til 50 keeping stpoloss of 46.
Even after negative news chart is showing reversal patterns such as Piercing line, Doji, Morning star at lower levels suggesting trend reversal.
Will the news affect the reversal?
The stock that must be keep under radar.
Panicness in international markets deu to america china trade war and movement in USD/INR affecting market. Technically bank nifty is moving in channel from past many days, upward price movement and slow movement of RSI (negative divergance) already gave negative indication, now the bank nifty is near to its channel support if it breaks next strong support is near 23600.