M&M (A triangle ready to be breached ?)

15 พ.ย. 2020

The stock has formed a beautiful triangle on a Daily TF and is currently consolidating since the last 2 days within it. Any breach of the Triangle might give a good momentum move in the direction of the breach. The further yellow lines can be treated as area of resistance and support while setting targets.

Things have started to turn towards the positive side, with many things working in India's favour like Increasing growth forecasts by different brokerage / research houses, companies delivering better than expected numbers for Q2, the expectation of having a vaccine soon has brought the Index to its all time high and things are just looking better. However we need to keep in mind that the markets are going up only on the expectation that things will be better, We need to see that even though the numbers for a lot of companies have improved they are still lagging the previous year on a half yearly basis and might de grow on a yearly basis as well, which clearly shows the valuations getting stretched even further. Volatility is here to stay until things don's look certain.
So trade with caution and never over expose.