SBI - Exit in any rise !!

The Nifty moved more or less as indicated. I had indicated that a break below 4930 should lead us towards 4755... Today (28-Oct) it already touched a low of 4784 (as of 3 pm) ...

One of the recent hero of the rally was SBI and it seems those investors holding SBI in their portfolio may want to exit it.

The technical charts looks like it wants to form a Head and Shoulder formation. The second shoulder (right) is yet to be formed..

There is also a negative divergence on the charts which suggests inherent weakness..



Be careful with your holdings and use any upmove to exit the stock for the time being. Upside seems quite limited from these levels. On down side Rs 1800 levels can now give some short term buying opportunity... .

Happy profit booking !!

CA Rajiv D Khatlawala
ValueTrade Academy Pvt Ltd.