Comments
Investors with a short-term perspective can consider selling the stock of Steel Authority of India at current levels. The stock has been in a medium-term downtrend since encountering a key resistance at ₹100 in early January this year. While trending lower, the stock breached a vital support at ₹80 in February and continued to trend down.
The intermediate bounce back move from around ₹69 found resistance around 75 and the stock reversed lower again resuming its downtrend. On Monday, it fell by 5.4 per cent accompanied with an above average volume breaching a key support at ₹70.
The daily relative strength index feature in the bearish zone backing the downtrend. Moreover, the daily price rate of change indicator hovers in the negative territory implying selling interest. Overall, the short-term outlook is bearish for the stock. Traders with a short-term perspective can sell the stock with a stop-loss at ₹71. Short-term targets are ₹64 and ₹62.
(Note: The recommendations are based on technical analysis. There is a risk of loss in trading.)
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.