J S P L
CLOSED AT: -
Rs.96.25 on 31-12-2015
Support:-96.25/89.05/86.35/83.60/82.15/69.
Resistance:-96.45/106.04/110/120.75/125.15/127.70/138.05/140.
It made its all time high of 796.10 on 27-8-2010 and since
then it has been falling for last five years and during the fall it broke major
bottom of 86.35 & 66.76 it made in
the year 2008 & 2007 respectively, it made a new bottom at 56 on 29.9.2015
and since then it has been steadily moving up.
Technically it is still very weak on the weekly and monthly
charts now but daily chart has shown marked improvement and good strength
therefore it seems that gradually long term technical setup may also
improve.
Please note that it has very good support in the range of
82—96.25 so buy on dip can be tried but not below 86.35 with a stop loss of
below 82 but it is suggested to create long position always above 96.25 in the
year 2016 with a stop loss of below 86.35(bottom of 2008) because 96.25 is the
benchmark point for the year 2016 and if it consistently starts trading below
this mark then it could trigger down move again.
The range for the month of January-2016 is 83—98.15 so break
on either side will decide which way it will move .As of now it is likely to give
upside break, so fresh long call can be added if it moves and sustain above 98.15 with a stop loss of
below 94 for added long position. Moving up it will face stiff resistance in
the range of 105—110--117—129—145. The short term bias is on the upside as long
as it holds 96.25.
Remark:-The long term
trend is still down. But it is exhibiting good strength on the daily chart, so
long call can be tried as suggested above .It is important to always keep in mind
the benchmark point of 96.25 because trading below this mark for some time
could open the down move again.
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.
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.
Note:
Price stated here is of spot market.
