Chart Busters: Top trading set-ups to watch out for on Thursday

Chart Busters: Top trading set-ups to watch out for on Thursday

by 5paisa Research Team Last Updated: Dec 11, 2022 - 09:55 pm 48.2k Views
Listen icon

On Wednesday, the benchmark index Nifty has opened flat and mostly traded in a narrow range of 83 points. However, the last hour of trading sessions witnessed a fall of nearly 136 points. The Nifty index has closed at 18210.95 with a loss of 57.45 points or 0.31%. The price action has formed a bearish candle. The Nifty Midcap 100 and Nifty Smallcap 100 has outperformed the benchmark indices on Wednesday. The advance-decline ratio was in the favour of advancers.

Here are the top trading set-ups to watch out for Thursday. 

Minda Corporation: Considering the daily chart, the stock has given a downward sloping trendline resistance breakout. This breakout was confirmed by above 50-days average volume. Additionally, the stock has formed a sizeable bullish candle on breakout day which adds strength to the breakout. The stock is trading above its important short to long-term moving averages i.e. 20, 50, 100 and 200 DMA. It is also in a rising trajectory.

Interestingly, the daily RSI has also given downward sloping trendline resistance breakout. Currently, daily RSI is quoting at 64.70 and it is in rising mode. The weekly RSI has also surged above the 60 mark for the first time after August 2021. The MACD line just crossed the signal line, and the histogram became green. Moreover, it has also given the buy signal in Martin Pring’s long-term KST set-up. On the daily timeframe, ADX is 12.35 and suggests that the trend is yet to be developed. Directional indicators continue in the ‘buy’ mode as +DI continues above –DI.

In a nutshell, the stock has registered a bullish breakout along with volume confirmation. On the upside, the level of Rs 148 will act as minor resistance. While on the downside, the 8-day EMA will act as strong support for the stock.

K.P.R. Mill: Majorly, the stock is displaying a bullish trend as it is trading above its short and long-term moving averages. These averages are in the desired sequence, which suggests the trend is strong. For the last 22 trading sessions, the stock is trading in a falling channel. Currently, it is on verge of giving the channel breakout on the daily chart. On Wednesday, the stock has touched the upper trendline of the falling channel. On Wednesday, the stock has seen robust volume above the 50-days average volume. This shows the accumulation before the actual breakout happen. Daily RSI is trading above 50 levels, indicating a bullish setup for the stock. The fast stochastic is also trading above its slow stochastic line.

Going ahead, the stock is on verge of seeing a trendline breakout. If it moves above the Rs 482-Rs 485 zone, then we may see a sharp upside in the stock. On the downside, the 20-day EMA will act as strong support, which it is currently quoting at Rs 449 level.

Share Market Today

How do you rate this article?

Start Investing in 5 mins*

Rs. 20 Flat Per Order | 0% Brokerage


About the Author

Our research team is composed of some highly qualified research professionals, their expertise range across sectors.

Open Free Demat Account
Resend OTP
Please Enter OTP
Mobile No. belongs to

By proceeding, you agree to the T&C.

Latest News
What you must know about M.V.K. Agro Food IPO?

M.V.K. Agro Food Product IPO was incorporated in the year 2018 to manufacture integrated sugar and other related products. M.V.K.

Juniper Hotels IPO Subscribed 2.08 times

The stock of Juniper Hotels IPO has a face value of ₹10 per share and the price band for the book building IPO has been set in the range of ₹342 to ₹360 per share. The IPO of Juniper Hotels Ltd will entirely a fresh issue of shares with no offer for sale (OFS) component.

Esconet Technologies IPO Lists 245.24% higher, but closes at -5% lower circuit

Bumper listing for Esconet Technologies IPO, then lower circuit