Hero Honda Falling: Support between 1807 & 1813

HERO HONDA Daily NSE Stock Chart Technical Analysis

Hero Honda fell today, Open: Rs. 1874, CMP: Rs. 1829.35.

Market Outlook:  

Tomorrow also the price could fall and the market should close between Rs. 1807 and Rs. 1813.

The price should make a small upward correction soon.

Technical Indicators:

The price fell today with good trading activity, and could easily fall tomorrow as well.

There are 2 levels of immediate support to stop the price from falling further: Rs. 1813 followed by Rs. 1807. There are previous swing lows as well as Fibonacci support levels.

If price manages to fall below both these levels, the 3rd support is at Rs. 1775.  And of course, we also have the support trendline below that.

The price is reaching into the oversold levels so it should pick up the rally and move upwards again once it hits the support lines.

There are support and resistance trendlines as visible on the chart.  Any breakouts from these lines will be very significant.  Though this is not expected, keep an eye on any breakouts from these trendlines.

HERO HONDA Daily NSE Stock Chart Technical Analysis

Bajaj Holdings Reaches Resistance, Short-term Correction is Expected

BAJAJ HOLDINGS Daily NSE Stock Chart Technical Analysis:

Bajaj Holdings dropped today.  It opened at Rs 945 and closed at CMP 932.40.

Market Outlook:

• The price will fall further tomorrow. 
• Support is expected at 909 and then at 880 (if price falls below 909).  It should began rising back after reaching these levels.
• Don't buy or sell yet, lets wait for some signals.

Technical Indicators:

• There is a price channel within which this stock is rising speedily.  The swings are about Rs. 70 up and down within the price channel.
• If the price falls and reaches its support trendline and returns back, its a good time to buy.
• If the price breaks resistance trendline and rises upwards for 2-3 days with good trading interest, that's a buy signal.
• Price is continuously taking support at the short and medium moving averages.
• The last 3 days, candlesticks have stayed within the price range set on 3 Nov - Rs 915 - Rs 949 and turned negative.  This is signaling a fall in price for the time being.  We'll wait for the next swing to enter and exit.

My Strategy for Trading Fast Rising Stocks:

• Stocks like Bajaj Holdings which are rising steadily for a period of time, fall back much more quickly than they rise.  
• Hence, in such stocks, I don't buy and hold.  I usually buy at swing lows and sell at swing highs.  
• This gives me good profit without the risk of suddenly losing money, and keeps my bank account liquid and gives good consistent cash flow.  
• You may have a different strategy and all strategies are good, so if yours works for you, stick to it.  

BAJAJ HOLDINGS Daily NSE Stock Chart Technical Analysis


(Analyzed for Prashant, Rajkot)