Technical View – Tata Communication
Observation
•Tata communication is finding support at 735 and resistance at 755. .
• Tata communication trading above 21 and below 55 days moving average which is at 742 and 744 respectively.
MACD showing positive momentum which indicates that upside side seems certain in it.
• Daily 14 period RSI has turned up from near 67 levels. As per the bullish high low theory of 40-70 levels, the weekly RSI is expected to move up to 70-75 levels from the current reading of 67. This could mean continuation of upside momentum in the stock price ahead.
•Break and sustain above 755 will see nonstop rally in Tata communication till 775++ in weeks to come.
•We believe the stock has the potential to move higher in the coming weeks as bullish trend will be seen above 755 level.
Trading Recommendation
Buy Tata communication above 755 for the initial upside target of 775 with stop loss below 735 on closing basis.
More will update soon!!
