I don't think technical analysis can be SUCH an exact science!!!
Well... While the Nifty formation is similar to an H & S formation, even some stocks are beginning to show signals of 'possible' reversals.
L&T seems to be making a classic head and shoulder formation. Moreover there is negative divergence too on the RSI which strengthens the case for H&S.
The downwad break out level is at 1500/- and investors may want to exit and book profit once they see a level below 1500/- on their screen!!
Happy profit booking !!
CA Rajiv D Khatlawala
Head of Research & Training
JHAVERI Securities Ltd
1 comment:
Rajiv, I see you mentioning investors exiting out at break of 1500...but what about bears shorting it? Do you think we should short at break of 1500?
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