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Friday, October 29, 2010

3i Infotech & 200-day EMA







3i Infotech stock price on BSE has crossed its 200-day EMA from the underneath after almost 6 months of staying under the 200 day moving average.

This could mark a positive sign for 3i Infotech in the stock market.  





A closer looks shows that today, the stock price went to an intraday high above the 200 day moving average but it dropped back to close further below with good volume.

Moreover, the intraday high touched and retracted from a trendline that is supported by some other tops and bottoms in the past 6 months.

Though the stock has faced resistance at this level, breaking through the 200 day moving average is a very positive sign and if the price breaks through this resistance with confirmation on next successive day/s, its a good time to long this stock.  I'll keep this forum updated.

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