Wednesday, March 6, 2013

TATAMOTORS Mar 06 Analysis



  • TATAMOTORS breaks out of Contracting Triangle pattern. Breakout supported by good volume. 
  • If the price doesn't go fall back into the pattern ( if it does, it's a false breakout), next resistances according to the trading channels are around 321 and 337.  Magic of numbers: 321 and 337 are also the previous tops :)
  • Today's high around 311 was also the 61.8% Fibo level  of the retracement of the fall from 337.4 to 268.7 :)
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2 comments:

  1. SubhashisDMarch 6, 2013 at 11:58 PM

    Sandeep ji, Whats your SL ?

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  2. Sandeep KoppulaMarch 7, 2013 at 12:17 AM

    As long as the price doesn't get back into the triangle pattern, TataMotors is good. If it does, it means a false breakout and false breakouts mostly result in a big move on the opposite side.
    If you want even a strict SL, then go for 50 day SMA.

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