SBI (₹278.3)
The stock of SBI was choppy last week, testing a key support at ₹280. Since its January 2015 peak of ₹335, it has been on a short-term downtrend. However, it now tests a key support as well as its 200-day moving average of around ₹277. The daily relative strength index features in the bearish zone, implying downward momentum. Other indicators in the daily chart feature in the negative territory too, signifying bearishness. A fall below its 200-day moving average will reinforce bearish momentum and drag the stock down to the next support of ₹270. Traders with a short-term perspective can initiate short position in rallies with a stop-loss at the level of ₹290. A slip below ₹270 will strengthen the downtrend and take the stock to ₹260. Important resistances above ₹290 are at ₹300 and ₹308. An emphatic move above ₹308 is needed to change the downtrend and take it up to ₹315 or ₹326
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.