Technical View – JSW steel
• JSW steel is finding support at 195 and resistance above 212. On Daily chart, JSW steel is having consolidation breakout point above 212.Break and sustain above 212 will see nonstop rally in JSW Steel till 229--235++ in weeks to come.
• JSW Steel, has been trading in a broader range of 144-212 for last one year.
• Stock was consolidating for the past few 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 68. 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 229--235+++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 JSW Steel above 212 and for the initial upside target of 229—235++ mark with stop loss below 195 on closing basis.
More will update soon!!
