A trader should be alert and aware when a stoc consolidates for considerable length of time. This is a nice case in point. Price consolidated and broke down and then hurtled down and also gone below the significant suppport level. Now what is the level to watch? 1010. If 995 is also broken, then expect 100 more points downside.
The stock is at very important level. Head and Shoulder pattern of more than three years has formed & 1050 to 1100 looks very crucial for this stock, any close (preferably weekly) with volume below this support zone may invite tremendous downside in the price.
its in little range and given us closing below 50 day moving average . its turn to retest lower level so we can see levels of 1340 in intraday or 2/3 days.
Ajanta Pharma has given trendline breakout with rising volume on daily charts. Also it has major support around 1650 on daily charts. ADX and RSI have turned positive on daily and weekly charts.
One can initiate long position on around 1780-1810 with Stop loss of 1650 (closing basis) for Target of 1950-2100 in next 10-12 weeks.
Making Lower high and Double Top with RSI Divergence.
5 Impulse waves have also completed and it may correct now. It also looks like a truncation situation here.
Overall, supply looks strong for now or you may say profit booking is in process, makes it sell for now.
T1: 1418
SL:1610
Risk/Reward: 1:5
IT'S VERY SIMPLE TRADE BASED ON TREND LINE SO KEEP UR EYES ON THAT SETUP .IF CANDLE CLOSE BELOW ITS TREND LINE THEN I'LL TAKE SHORT POSITION IN DIS STOCK.
HIT LIKE IF YOU AGREE WITH MY VIEW AND FOLLOW ME FOR MORE UPDATES AND IDEA'S ,I REALLY APPRECIATE THAT.
TRADE WITH CARE
REGARDS
KING999
SIMPLE BUT VERY EFFECTIVE SELL SETUP ON DIS PAIR PRICE TOUCHED ITS RESISTANCE .ENTRY STOP LOSS AND TARGET GIVEN ON CHART.
HIT LIKE IF YOU ARE AGREE WITH MY VIEW & FOLLOW ME FOR MORE UPDATES AND IDEAS. I REALLY APPRECIATE THAT.
TRADE WITH CARE
REGARDS
KING999
