Sasken Technologies (₹1,034.1): SELL bl-premium-article-image

Gurumurthy KBL Research Bureau Updated - January 28, 2022 at 06:17 AM.

Revise the stop-loss down to ₹1,020 as soon as the stock moves down to ₹980

The Outlook for the stock of Sasken Technologies is bearish. The stock fell 3.95 per cent on Thursday. The price action in the last three weeks indicates that the uptrend that was in place since March 2020 has ended and the trend has reversed. There is a support at ₹1,000. If the stock manages to sustain above it a corrective bounce to ₹1,150-₹1,200 is possible. But a further rise past ₹1,200 is unlikely. The stock is likely to break ₹1,000 eventually and fall to ₹930 - the 50 per cent Fibonacci retracement support level. ₹900 initially.

A break below ₹900 will see the fall extending up to ₹800-₹780. Traders with high-risk appetite can go short in small quantity at current levels. Accumulate more shorts on a rise at ₹1,170. Keep the stop-loss at ₹1,220. Revise the stop-loss down to ₹1,020 as soon as the stock moves down to ₹980. Move the stop-loss further down to ₹970 as soon as the stock falls to ₹945. Book profits at ₹930. The bearish outlook will get negated only if the stock breaks above ₹1,200 and then a subsequent rise above ₹1,300. But that looks less probable on the charts.

(Note: The recommendations are based on technical analysis. There is risk of loss in trading.)

Published on January 28, 2022 00:47

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