The adjoining chart is a weekly chart of NCDEX jeera October contract. We can observe that jeera had formed an impulse on the downside. It retraced up to the 20- daily simple moving average and faced severe selling pressure at the crucial resistance. The weekly momentum indicator has given a negative crossover which indicates that every rise should be sold into. Currently it is trading near the lower end of the bearish flag pattern. Also a crucial medium term rising trend line (shown in blue colour) is providing it support. We expect the flag pattern to break on the downside with a target of Rs11,500 in the coming weeks. Our initial target placed at the weekly lower Bollinger Band has already been achieved. The stop loss should be placed at Rs13,800, which is the weekly upper Bollinger Band.
Labels:

Author Name

Contact Form

Name

Email *

Message *

© All Rights Reserved 2008-2009,Shubhlaxmi Investments. Powered by Blogger.