Commodities

Thursday, 20 August 2020

A TECHNICAL VIEW ON VA TECH WABANG LTD—21.8.2020

 

VA TECH WABANG LTD


Open-157.70--High-185.50--Low-155—Close-183.45 on 20.8.2020

Support:182.50/167.15/160.30/151.60/142.80/137.90/131.50/123.80.

Resistance: 196.70/206.70/212.50/228.50/237.75/244/256/261.

Critical Points moving up:--196.70---208---218---231.

Critical Points moving down:--182.50---160.30---151.60---142.80.

(Bold and underlined figures are most important)

It made an all time high of 972.50 on 17.3.2015 and then moved down steadily and made an all time low of 73 on 7.4.2020 after hitting the low it bounced back sharply and made a top of 142.80 on 30.4.2020 and thereafter moved in a range of 142.80---88 till 17th August-2020 with a whip saw above 142.80 for a day or two. But on 18.8.2020 it gave the upside breakout from the top of 142.80 and now it is  well above it, furthermore it has also closed above its crucial and important points of 160.30  & 182.50 which is an extremely positive sign. The present technical setup indicates that further up move may be ahead as it is above 182.50 mark so strong up momentum is expected. If it sustain above 182.50 then the possible upside target could be 196.70---212.50---228.50---237.75—261. Similarly moving down it will find support at 182.50--160.30—151.80---142.80. Sustained break below 160.30 can drag it down to 142.80. It is very likely to see an upsurge in the price in coming days provided it holds 182.50 on the closing basis. 

In view of the above observation short term investors cum traders can enter the stock at the current market price and buy on decline also but not below 160.30 with a stop loss of 157. It is strongly suggested to trail your stop losses (with the help of support levels mentioned above) in the profitable trade to avoid losses completely. PLEASE NOTE THAT IT IS PURELY A TECHNICAL BUY CALL. DO NOT TRADE OR INVEST WITHOUT STOP LOSS.

NOTE: - It is the technical assessment of the stock as of now, the technical interpretation changes with the price movement and time, therefore investors are advised to look into fundamental, financial details of the company and last but not the least management perception for the future of the company before taking investment decision.

Disclaimer:-The view expressed here are solely of the author and he is not at all responsible in any way for the outcome of the trade you enter based on the above view.

 

Kindly note that make your cost your stop loss in favourable  trade and then trail it as the price move up/down to gain maximum profit and avoid losses. Use support and resistance levels as entry, exit, target and trailing stop loss points. DO NOT TRADE WITHOUT STOP LOSS.

 

Note: Price stated here are of spot market.

 

Contact me for strategic guidance to enter and exit trade.

 

Thanks 

Narendra Kumar Surana

suranank@gmail.com

Mobile—8240951127/9831313654.

 

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