crashed 34 per cent to hit a 10-year low in the intra-day trade on Thursday after the airline suspended operations as lenders turned down the airline’s demand for emergency funding. Following this, shares of other listed airlines - SpiceJet and IndiGo, gained in the trade.
Here's a look at what the technical charts indicate for the two airline stocks -
InterGlobe Aviation (INDIGO):
The stock has seen a bullish breakout of Flag Pattern that leads to Rs 1,650 levels. It needs to take a relief, as oscillators have entered overbought territory. The RSI
(Relative Strength Index) is reading at 77 and Stochastic
reads at 88 levels, as per daily chart. The major support comes in at Rs 1,465, a breakout level of the Flag pattern. The immediate support stays at Rs 1,530 levels. The overall trend indicates a positive bias; however, the stock needs to either stabilize the steep move or show consolidation to gain sustained rise in the coming sessions. CLICK HERE FOR DETAILED CHART VIEW
SpiceJet (SPICEJET LTD):
A strong rally with a gap-up closing indicates bulls riding the stock with high optimism. The volumes have risen tremendously, a strong volume number equivalent to what we have seen in March 2017 shows more upside ahead. Considering the same, one needs to be cautious assessing the support level of Rs 120. Till the stock is trading above the same, it will attract more buying and may scale towards Rs 160. CLICK HERE FOR DETAILED CHART VIEW