Melewar is related to steel manufacturing holding company.
Steel / metal price had been down lately due to China Economy Restriction (zero covid policy). As recently the Dollar index is down and China is easing their economy restiction, steel or metal is among the sector which should benefit from it.
Looking at the chart, there had been buying activities recently in steel counters. Melewar is showing that Flag Pattern might playout in near future.
We can see from 11 Nov to 21 Nov there had been massive buying activities which had lead to a very convincing upward move.
Then we can see it is consolidate to today in a flag pattern.
Tailwinds:
China opening economic activities.
Headwinds:
Recession fears as Fed Reserve is doing Monetary Thightening to battle inflation.
The consolidation is nearing its end,
1) If buyers dont step in, then sellers will take charge. Thus, the next Support will be at 0.260.
2) If it could make a breakout, then the next resistance is at 0.320 followed by 0.375.
Disclaimer:
This is not a Buy / Sell call. This material is for learning purposes only. Trade at your own risk.
Steel / metal price had been down lately due to China Economy Restriction (zero covid policy). As recently the Dollar index is down and China is easing their economy restiction, steel or metal is among the sector which should benefit from it.
Looking at the chart, there had been buying activities recently in steel counters. Melewar is showing that Flag Pattern might playout in near future.
We can see from 11 Nov to 21 Nov there had been massive buying activities which had lead to a very convincing upward move.
Then we can see it is consolidate to today in a flag pattern.
Tailwinds:
China opening economic activities.
Headwinds:
Recession fears as Fed Reserve is doing Monetary Thightening to battle inflation.
The consolidation is nearing its end,
1) If buyers dont step in, then sellers will take charge. Thus, the next Support will be at 0.260.
2) If it could make a breakout, then the next resistance is at 0.320 followed by 0.375.
Disclaimer:
This is not a Buy / Sell call. This material is for learning purposes only. Trade at your own risk.