A TECHNICAL VIEW ON HDFC LTD-12.10.2020

 

HDFC LTD

Open-1945--High-2029.85--Low-1938—Close-1957.65 on 9.10.2020

Support:1951.25/1947.90/1927/1921.90/1901/1855.25/1820.

Resistance,1960/1973/2017/2052.95/2073/2135/2194/2235/2265/2300/2357.85/2459.30/2499.90(all time high).

(Bold and underlined figures are most important)

It had made an all time high of 2499.90 on 14.1.2020 and then moved down steadily and made a low of 1473.45 on 24.3.2020 after hitting the low it bounced back and steadily moved up in a zigzag manner and currently quoting at 1957.65.It is well placed on the technical chart, so further rise may be ahead in coming days. The only concerning thing now is that it has had a vertical rise of 406.85 points intraday in 10 trading session, therefore it is vulnerable for a correction also before further rise and the price pattern of 9.10.2020 indicates that, so correction looks imminent and may happen anytime and if it corrects now chances of which looks fair at this point of time then it will find good support at 1933---1921.90---1898.54----1862  Safe traders and investor can buy it on decline but not  below the range of 1933---1921.90 with a stop loss of 1910 whereas aggressive traders and investor can buy on decline up to 1862 but not below it with a strict stop loss of 1850. At this point of time it is strongly suggested not to buy below 1921.90. The chart setup is o.k.as of now  and indicates that the further up move may be ahead and may happen in coming days and the upside target or resistance points could be at 1987---2005---2045----2108---2195---2258---2295---2418---2460—2499.90. Moving up 1987—2005---2045 are very important and stiff hurdle for it, therefore please note that sustained break above 2005 on the closing basis will enhance its strength and it may have an accelerated up move if it moves and sustain above 2045 on the closing basis. It is important to mention here that if it moves and sustain above 2295 then it is likely to retest its all time high of 2499.90 or may go beyond it also. The bias is bullish as of now but be alert and cautious in the long trade at this point of time because it could give short correction anytime and it may today itself.

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 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.