Tuesday, May 10, 2016

Reliance Capital - Technical Recommendation


RELIANCE CAPITAL, on a daily chart stock price is making higher top and higher bottom pattern from last three trading session, also stock is trading above 20DMA, 50DMA and100DMA respectively suggesting it has potential up move in upcoming trading sessions, indicate positive outlook for the stock.

Technically stock price i.e. 409.60 has given a breakout of the downward slopping trend line @ 404.30 level, and it’s moving towards northward direction, suggesting it has potential up move in coming trading sessions, indicating positive view. 

Momentum oscillator MACD has given positive crossover, also RSI have more room left on upside, which add more bullishness to the stock price.
If one were to go by the volume data, then more up move seen on the stock price.

Looking towards the chart study and parameters, we believe stock price may extend its rally towards 443, 470 levels, whereas 377 will act as a strong support level.

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