Technical Pick – DLF
• DLF is finding support at 195 and resistance above 204.
•On Daily chart, DHFL is having consolidation breakout point above 204.Break and sustain above 204 will see nonstop rally in DLF till 214--227++ in weeks to come.
• DLF, has been trading in a broader range of 101-215 for last one year.
• Stock was consolidating for the past one months and now has given breakout after which the short term trend is expected to turn bullish.
• Daily 14 period RSI has turned up from near levels. As per the bullish high low theory of 40-70 levels, the daily RSI is expected to move up to 70- 75 levels from the current reading of 58. This could mean Continuation of upside momentum in the stock price ahead possibly a breakout also this time.
• Traders don’t go for aggressive or positional selling at all because trend looks positive and we expect rally to remain continue till 214--227+++mark in coming weeks. For positional trade, stop loss seeing below 195 on closing basis which in unlikely to breach in near terms.
Trading Recommendation
Buy DLF above 204 and for the initial upside target of 214—227++ mark with stop loss below 195 on closing basis.
More will update soon!!
