Nifty closed in the negative territory on Monday for the ninth consecutive session and with that it has been continuously forming lower tops and lower bottoms. The momentum indicator is deeply in the negative territory on the daily, weekly and monthly charts. The index seems to have formed and expanded flat pattern and with that, wave C down seems to have started. The conservative short term target comes at 10,975 and the stop loss for the same is seen at 11,258.
TARGET: Rs 51,670
STOP LOSS: Rs 54,135
The stock has completed a three wave rise in its wave 4 and now wave 5 seems to have started. The daily and weekly momentum indicator MACD (moving average convergence divergence) is in sell mode. The wave 5 seems to have started and the minimum target comes at Rs 51,670, whereas the resistance is pegged at Rs 54,135.
TARGET: Rs 1,503
STOP LOSS: Rs 1,614
The stock has provided a breakout from the bearish head and shoulders pattern which is a bearish reversal pattern. The stock has provided a sell crossover on its daily MACD; hence, we recommend selling for the target of Rs 1,503 with a stop loss of Rs 1,614.
BHARTI AIRTEL: SELL
TARGET: Rs 289
STOP LOSS: Rs 330
The stock has formed a bearish wedge pattern on the daily charts and with that the daily momentum indicator MACD is in sell mode; hence, we recommend selling this stock as it offers good risk to reward ratio.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.