TECH
MAHINDRA LTD
Open—1118--High—1119.60--Low—1082.45--Close—1085.15 on 3.3.2023.
Support: 1077/1036/1017.90/1016.40/1005/996.05/984.55/965/943.70/937/921/915/890/846/795/761/745.
Resistance: 1108/1120/1135/1152.50/1155/1165/1200/1237.30/1299/1324/1330/1361/1371/1406.95/1447/1470.40/1515/1526/1548/1575/1630/1638.25/1687.50/1755/1818/1838.
(Bold and
underlined figures are most important)
FOR TRADERS
The overall technical setup is weak
and it is into deep corrective mode as it is way below its threshold point of 1515.50 and most importantly it is also
into bear market territory as it is below its threshold point of 1470.40. The silver lining here is that
after the fall from the all-time high of 1838
it is still above its two critical and most important support points of 1018 & 943.70(valid for 2023).
Therefore price-wise it seems that it is in the process of bottom formation, but
certain important technical indicators as of now are pointing that it still has
a room for going down and if it breaks below 943.70 and sustain on the closing basis then it could drag it down 794
& 745 levels and finally sustain break below 745 on the closing can may drag it down to 500---475 levels.
In view of the above observation long
trade can be tried if it holds 1082
for some time with a stop loss of 1070
or on decline near or within the range of 1018---944
with a stop loss of 920 or can
be tried if it moves above 1165 and
sustain on the closing basis with a stop loss of 1145. It is suggested to avoid fresh long trade below 944. Since it is in deep corrective
mode one should be extremely alert and cautious in the long trade and do not
trade without stop loss.
FOR
INVESTOR
Kindly note that it is a good
pedigree stock and one can get these types of stock cheaper only when they are
technically weak. It is therefore suggested to accumulate the stock in a
staggered manner on every deep decline day with time horizon of 3-5 years for decent gains. It is
suggested to buy a token quantity at the CMP may be 5% to 10% of designated amount set aside for the stock. The other
important buying range could be 1018---950
/ 794---745 and 500—475, it is suggested to increase the % of buying on a steep decline day. It
is important to mention here that as of now the range of 800---650 seems to be the worst price range for the stock on
decline.
NOTE: - It
is a technical assessment of the stock as of now, the technical interpretation
changes with the price movement and time; therefore it needs periodic updating,
which may please be noted.
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.
