Can Sensex retest the trendline or stop at 9400-9450 …Expiry covering ?
Sensex Technical View :
Sensex manages to continue to its pullback move beyond 9k. In the triangle breakout pattern we had been discussing the importance of volume support and a large price action to confirm the moves beyond the lines.
Earlier we saw a move beyond the upper trendline of the triangle and then lower but without adequate volume and large price action support. So a clarity on the trend should emerge with the above two points only till then such flip-flop moves should continue.
In short term 9400-9450 is an important resistance which is the recent tops. Sustaining above which the index would test the breakdown line.
Stocks to watchout for :
The stock has been holding up arnd the level 75-78 irrespective of market moves ( promoters increasing stake) . If stays above 78.5 could test 85-88.
If sustains above 955 could touch 980-1020 in short term. Seems a small breakout possible in short term.
After giving a technical breakdown below 200-220 the stock has cracked towards 130-140 zone.
Technically the stock gave a major breakout in 2006 where in the range was 110 to 180 odd for a long period of time.
So the next important technical support comes at 110 odd zone ( below which no support ). Risky players can buy in parts on dips at 140 and 120 for a bounce back tgt of 180.
The stock could not break below 1020-1060 zones on the downside and is now back to testing the upper trendline of the triangle which comes around 1325-1340 zone in near term.
Should see resistance around that zone risky day traders can short closer to it for a pullback dip.
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