Today we have come up with one of the known stock called Infosys (Infy) from the IT sector. Here we have a history from September 2011 to till date i.e. February 2012. Following are some of the points which has developed interest in our technical analysis experts to speak up: -
Infy started its uptrend after making double bottom near 2200 & rallied till 2900 where it gave its momentum & stuck up in sideways movement.
After consolidation of nearly 3 1/5 months, it has come out from range bound activity.
Volume is also thin when Infy stuck up in range, volume will increase as Infy continuing its uptrend.
ADX (Average Directional Index) is rising since resistance level got broken. ADX shows how strengthen the momentum.
If we follow Fibonacci retracement theory, we can see that when Infy’s recent uptrend got disturbed & when it started coming down, it has tested 50% retracement level twice.
By using Fibonacci retracement, we can draw next targets for Infy is First Target 3190 & Second Target 3470.
We can buy this stock above 3000 (on closing basis only) by keeping stop loss below 2900 with targets of 3190 & 3470 in coming few days.
See syllabus for Technical analysis training in Mumbai,India.
Please read our disclaimers before investing http://tradingkamai.blogspot.in/p/disclaimer.html
Infy started its uptrend after making double bottom near 2200 & rallied till 2900 where it gave its momentum & stuck up in sideways movement.
After consolidation of nearly 3 1/5 months, it has come out from range bound activity.
Volume is also thin when Infy stuck up in range, volume will increase as Infy continuing its uptrend.
ADX (Average Directional Index) is rising since resistance level got broken. ADX shows how strengthen the momentum.
If we follow Fibonacci retracement theory, we can see that when Infy’s recent uptrend got disturbed & when it started coming down, it has tested 50% retracement level twice.
By using Fibonacci retracement, we can draw next targets for Infy is First Target 3190 & Second Target 3470.
We can buy this stock above 3000 (on closing basis only) by keeping stop loss below 2900 with targets of 3190 & 3470 in coming few days.
See syllabus for Technical analysis training in Mumbai,India.
Please read our disclaimers before investing http://tradingkamai.blogspot.in/p/disclaimer.html
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