A TECHNICAL VIEW ON HDFC LIFE INS CO LTD—14.11.2020

 

HDFC LIFE INS CO LTD

Open-625--High-630.35--Low-617.95—Close-627.50 on 13.11.2020

Support: 625.90/617.95/612.70/594.15/587.75/580.35/567---555.

Resistance:633.10/647.60/673/683/705/730/764/796/836/944.

(Bold and underlined figures are most important)

Technically it is nicely placed, furthermore it has an Inverse Head & Shoulder pattern formation on the daily chart and if it moves above its neckline which is placed at 647.60 and sustain on the closing basis then it will have a maximum possible upside target of 955 for the pattern but it can go beyond this also which may please be noted. Moving towards the targeted point it can face resistance at 673---683---705---730---764---796---836---944 levels.

It has bed of support in the range of 567---555, it looks good for long term investment and can be accumulated on decline by the investors but not below 555 with a stop loss of 545. But it will pick up strong up momentum only once it gives breakout from the neckline point of 647.60 and sustain on the closing basis. Therefore for traders it is suggested that they should try long trade only after the breakout with a stop loss of 637. It is important to mention here that one has to have long position above 647.60 because of its huge upside target. 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 favorable  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.

 

 By-Narendra Kumar Surana