This is weekly chart of Ambujacem (spot). Following observations indicate that it might soon give an opportunity to go long in this scrip:
1. It has been trading in a range 185 to 280 since May 2014. It has made a low of 188.50 in the last week and finally closed at 190.45. This implies that it is trading at lower range near support which has been respected many a times in past.
2. As mentioned in the preceding point, range indicating support and resistance have been drawn on the chart.
3. Bullish divergence as marked on RSI in the chart can be seen signifying loss in momentum towards downside.
In view of above observation, it can be a good forthcoming long side trade with favourable risk-reward ratio if it shows reversal bullish candle on chart in near future.
Happy trading !!! Kindly share views for cross learning
1. It has been trading in a range 185 to 280 since May 2014. It has made a low of 188.50 in the last week and finally closed at 190.45. This implies that it is trading at lower range near support which has been respected many a times in past.
2. As mentioned in the preceding point, range indicating support and resistance have been drawn on the chart.
3. Bullish divergence as marked on RSI in the chart can be seen signifying loss in momentum towards downside.
In view of above observation, it can be a good forthcoming long side trade with favourable risk-reward ratio if it shows reversal bullish candle on chart in near future.
Happy trading !!! Kindly share views for cross learning