Targets : 365-350 Sell Range : 420-430 Stoploss : 445 Duration : 4-5 weeks
Outlook :
The attached weekly timeframe chart of this Telecommunication Sector participant (Bharti Airtel) is indicating a beginning of a sharp weakness in the stock price, which is trading within 5.0% of One Year High of 430 touched on 18th July-2017.
The gradual upmove of the last seven-eight months seems to have completed, as the stock price has started to show weakness from the highs during this week.
Initial evidence of a beginning of declines is visible, as the stock saw a stiff overhead resistance near upper channel band of pitchfork indicator placed at 430-432 levels, Secondly the 141.4% retracement of down move from 401 (February 2017) till lows of 325.80 (March 2017) is placed near 430 levels restricting the stock moving upward.
14-period weekly RSI is in overbought territory above 72 and heading downwards.
Stocks weekly and monthly ATR is placed at 20 and 45.29 respectively, as per rule stock failed to close above 425-430 levels, indicating a pause for further upside in the stock.
Keeping in mind the above technical evidences, we expect stock prices correcting from here, hence recommend a Sell at CMP and at any rises (price range 420-430), maintaining stop just above 445 on closing basis.
Note : We had a positive view on this stock and recommended a buy above 387 with targets of 427-487, with respect to above observations, we have switched the trade from buy to sell after meeting our first targets.
Outlook :
The attached weekly timeframe chart of this Telecommunication Sector participant (Bharti Airtel) is indicating a beginning of a sharp weakness in the stock price, which is trading within 5.0% of One Year High of 430 touched on 18th July-2017.
The gradual upmove of the last seven-eight months seems to have completed, as the stock price has started to show weakness from the highs during this week.
Initial evidence of a beginning of declines is visible, as the stock saw a stiff overhead resistance near upper channel band of pitchfork indicator placed at 430-432 levels, Secondly the 141.4% retracement of down move from 401 (February 2017) till lows of 325.80 (March 2017) is placed near 430 levels restricting the stock moving upward.
14-period weekly RSI is in overbought territory above 72 and heading downwards.
Stocks weekly and monthly ATR is placed at 20 and 45.29 respectively, as per rule stock failed to close above 425-430 levels, indicating a pause for further upside in the stock.
Keeping in mind the above technical evidences, we expect stock prices correcting from here, hence recommend a Sell at CMP and at any rises (price range 420-430), maintaining stop just above 445 on closing basis.
Note : We had a positive view on this stock and recommended a buy above 387 with targets of 427-487, with respect to above observations, we have switched the trade from buy to sell after meeting our first targets.