Oil India remained under pressure amidst excess liquidity and profit-booking as stock has retraced 50 percent of prior up-move. In the last week, its long-term moving average 100-week SMA has saved the stock from extending losses and also supported a positive close.
Due to prior decline, key technical indicators-Stochastic and RSI slipped into their oversold zone, hence a rebound cannot be ruled out in the stock before it resumes the downtrend.
On the higher side, the stock will face some resistance around its moving averages, but a major hurdle observed at around Rs 330 and then at Rs 340, which is coinciding with 23.6 percent Fibonacci Retracement level of previous up-move and prior highs respectively.
Due to prior decline, key technical indicators-Stochastic and RSI slipped into their oversold zone, hence a rebound cannot be ruled out in the stock before it resumes the downtrend.
On the higher side, the stock will face some resistance around its moving averages, but a major hurdle observed at around Rs 330 and then at Rs 340, which is coinciding with 23.6 percent Fibonacci Retracement level of previous up-move and prior highs respectively.
No comments:
Post a Comment