Neyvelli Lignite - consolidation ending!

The Nifty went past the 61.80% retracement level as it shot up beyond 4950. While the price movements in intraday have been quite profitable, the daily charts still remain in sell mode. Advanced indicators still suggest that the rally is 'corrective' in nature.

After recent annoucements, PSUs have been in limelight and one of my favorites is Neyvelli Lignite (yes fundamentally too) .



The scrip seems to be in a consolidation mode between 120 and 145 and I expect a break out above Rs 145 should lead us towards targets near Rs 180 and beyond. Also Rs 110-120 price range is a good support area for the stock where investors may want to accumulate further (obviosuly after checking the charts).

Keep an eye on the volumes and volume based indicators too. . .

Happy trading !
CA Rajiv D Khatlawala
ValueTrade Academy Pvt Ltd.