Chart Busters: Top trading set-ups to watch out for Tuesday
NIFTY’s move inflicts structural damage on charts.
The geopolitical tensions between Russia and Ukraine invited a wave of global weakness. The Indian equity markets were not spared either, as they saw a large corrective wave. The NIFTY opened with a gap down, grew weaker as the day progressed, and closed near to its low point with a net loss of 531.95 points (-3.06%). NIFTY has tested the 200-DMA, which presently stands at 16798; NIFTY’s staying above this point will be extremely crucial to avoid a breakdown. In the process, a falling window has occurred on the candles; this usually resolves with the continuation of the downtrend. However, this will need confirmation on the next day.
Here are the top trading set-ups to watch out for Tuesday
LTTS
LTTS has corrected from 6000 levels; presently it has shown some mild intention to halt its decline. The price is near to the 200-DMA which presently stands at 4146. RSI has shown a bullish divergence against the price. While the price formed lower lows, the RSI did not and this resulted in a bullish divergence. On the candles, a candle with a long lower shadow appeared. Its appearing near the support area of 200-DMA may lead to a potential base formation. The stock may test 4550 and 4650 levels. Any move below 4240 on a closing basis will negate this view.
UFLEX
UFLEX has seen a strong volume-based breakout after trading in a range between 520-550 levels. The high and above-average volume supports this move. The OBV has marked a new high which also can be seen as a confirmation on the volume front. The RS line against the broader markets has shown a sharp rise, it now trades above its 50-DMA. The stock remains in the leading quadrant of the RRG; it is expected to relatively outperform the broader NIFTY500 index. PSR has shown a fresh buy signal. If the breakout continues, the stock can test 590 and 620 levels. SL of 520 must be maintained on a closing basis.
Share Market Today
Indices Name | Price | Price Change (% change) |
---|---|---|
S&P ASX 200 | 7896.90 | 10.7 (0.14%) |
CAC 40 | 8250.18 | 40.25 (0.49%) |
DAX | 18501.03 | 13.69 (0.07%) |
Dow Jones | 39760.08 | 477.75 (1.22%) |
FTSE 100 | 7970.46 | 38.48 (0.49%) |
Hang Seng | 16541.42 | 148.58 (0.91%) |
US Tech Composite | 16404.52 | 83.82 (0.51%) |
Nikkei 225 | 40168.00 | -594.73 (-1.46%) |
S&P 500 | 5248.49 | 44.91 (0.86%) |
Gift Nifty | 22326.50 | 112.5 (0.51%) |
Shanghai Composite | 3012.93 | 19.79 (0.66%) |
Taiwan Weighted | 20146.55 | -53.57 (-0.27%) |
US 30 | 39757.20 | 34 (0.09%) |
Start Investing in 5 mins*
Rs. 20 Flat Per Order | 0% Brokerage