This blog is my trading diary. It is an attempt to organise my analysis and thoughts. I follow the charting methods given in JUST NIFTY blog by Ilango sir and so the charts would have striking resemblance to his charts. I am indebted to Ilango sir for having made this blog possible for me.

March 22, 2013

Tata Motors Update


UPDATE OF MAR 19 CHART CLICK HERE:
In Tata motors chart, the neckline of the H& S is broken and is trending down in a narrow channel currently trading at 200 DMA 269.5. Break of 200 DMA with an EOD close below it would be very bearish - with H&S targets near 250-245.

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2 comments:

Anonymous said...

Madam

Uptrending neckline for H&S pattern, how reliable can the pattern be? (from ur experience)

Learning technicals, hence query

Thanks

March 22, 2013 at 1:11 PM
satheesh said...

@ sampy,

My observation is that when the Neckline is sloping upwards along with a small right shoulder, the H&S pattern produces 50%-70% of the target which is supposed to be the height of the Head from neckline. Same is the case with a downward sloping inverted H&S with a small right shoulder.

In this case, the height of the Head is 337-285 = 52 points and till now 285-268= 17 points is reached which is almost 33%. now 200 DMA is providing good support and today the EOD close is above 200DMA. So only when an EOD close below 200DMA occurs more downsides will be expected which will give the 250 levels.

March 22, 2013 at 4:07 PM

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