The long-term structure of the counter looks lucrative as it has witnessed a breakout of Long Trend-line resistance with strong volume. It also experienced the breaking of an Inverse Head and Shoulders formation on the weekly timeframe. It trades above all-important moving averages. On the upside, Rs. 460 is the psychological resistance level; above this, we can expect a rally towards Rs. 490. On the downside, Rs. 380 is an important support level during any correction,said Pravesh Gour, Senior Technical Analyst, Swastika Investmart.
The counter has witnessed a breakout of the triangle formation with a huge volume. It has retested its last breakout level at Rs. 860 and starts a new leg of rally towards Rs. 900. The structure of the counter is good for long-term investors because it is trading above all important moving averages.
On the upside, Rs. 900 is an immediate hurdle. Above this, we can expect a move towards Rs. 940+. On the downside, Rs. 850 is an important support level.
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