SOME AUTOMOBILE STOCKS ON WEAK TECHNICAL FOOTING
1. BAJAJ AUTO LTD: - Open-2940, High-2963.20,
Low—2880.10, Close-2886.90 on 30.10.2020.
(A) It is showing sign of weakness on the daily chart and it is
creeping into the weekly chart also.
(B) It is already in the short term correction and below key point
of 2890, if it sustain below it correction may continue and if it moves and
maintain above 2890, it may stage a short pullback before starting down journey
again.
(C) Its upside looks
capped as of now in the range of 2830---3050---3159, break below 2830 will open
up the fresh down side. Similarly break above 3159 will open the fresh upside
too.
(D) It will slip into long term correction mode if it moves and
sustains below 2835.60 on closing basis and then it will seriously threaten the
uptrend.
(E) The bias is bearish as of now, however it may witness short up
move from time to time within the range as mentioned above.
(F) Avoid long trade below
2830 and can try it only after reasonable decline at appropriate points with
the help of critical points mentioned on the downside. It is suggested to try
short trade either below 2890 or more safely below 2830 or can be tried after
reasonable rise also at appropriate range because it is in corrective mode.
Support Levels:-2870/2853/2835.60/2830/2772/2610/2450/2361/2295.
Resistance Levels:-2890/2996/3114/3130/3159.
Most Critical Points Moving
Down:-2835.60—2830----2749---2635---2474---2312---2112---2062.
Most Critical Points Moving Up:-2918---2959---3024---2991---3075---3130---3159.
2. EICHER MOTORS LTD: - Open-2123.20, High-2147.40,
Low—2070.55, Close-2085.60 on 30.10.2020.
(A) It is showing sign of weakness on the daily chart and on the
monthly chart too but weekly chart is ok as of now.
(B) It is already in the short term correction mode and near its
key point of 2079, if it moves below it correction may continue and if it moves
and maintain above 2079, it may stage a short pullback before starting down journey
again.
(C) Its upside looks capped as of now in the range of 2006---2230---2303
as of now, break below2006 will open up the fresh down side. Similarly break
above 2230 will give it strength to move up further.
(D) It has already slipped into the long term
correction mode as it has broken its key point of 2117.70 and sustained close
below it may threaten the long term uptrend.
(E) The bias is bearish as of now, however it may witness short up
move from time to time within the range as mentioned above.
(F) Avoid long trade below 2117.70 & 2079 but can be tried
after reasonable decline at appropriate points with the help of critical points
mentioned on the downside with
self-defined short stop losses. It is suggested to try short trade either below
2079 or can be tried after reasonable rise also at appropriate range because it
is in corrective mode now.
Support Levels:-2070/2023/2006/1832/1797/1631/1559/1490/1357/1332/1320/1285/1245.
Resistance Levels:-2120/2170/2214.65/2227/2230/2260/2288/2303/2387.25.
Most Critical Points Moving Down:-2006---1950---1816---1681---1514---1473.
Most Critical Points Moving Up:-2125---2160---2187---2214---2248---2257.
3. HERO MOTOR CORP LTD: - Open-2913.90, High-2928.50,
Low—2787, Close-2799.80 on 30.10.2020.
(A) It is showing sign of weakness on the daily chart and on the
monthly chart too but weekly chart is ok as of now.
(B) It is already in the short term correction mode and near its
key point of 2752, if it moves below it correction may continue and if it
maintain above it, it may stage a short pullback before starting down journey
again.
(C) Its upside looks capped as of now in the range of 2752---2942---3180---3240
as of now, break below2752 will open up the fresh down side. Similarly break
above 3240 will give it strength to move up further.
(D) It has already slipped
into the long term correction mode as it has broken its key point of 2942 and
sustained close below it may threaten the long term uptrend.
(E) The bias is bearish as of now, however it may witness short up
move from time to time within the range as mentioned above.
(F) Avoid long trade below 2942 & 2752 but can be tried after
reasonable decline at appropriate points with the help of critical points
mentioned on the downside with self-defined short stop losses. It is suggested
to try short trade either below 2752 or can be tried after reasonable rise also
at appropriate range near 2942 of may be at higher point because it is in
corrective mode now.
Support
Levels:-2070/2023/2006/1832/1797/1631/1559/1490/1357/1332/1320/1285/1245.
Resistance
Levels:-2120/2170/2214.65/2227/2230/2260/2288/2303/2387.25.
Most Critical Points Moving
Down:-2006---1950---1816---1681---1514---1473.
Most Critical Points Moving
Up:-2125---2160---2187---2214---2248---2257.
NOTE:-The above observation are based on the
technical parameters and since technical analysis is a continuous process,
therefore the view may change with time and price movement. So keep a watch on
the price movement because breakout on the either side of the range may change
the perception. The traders may structure their trade with the help of above
observation.
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.
Thanks
Narendra Kumar Surana
Mobile—8240951127/9831313654.
