Bharti Airtel Ltd. (BHARTIARTL) ForecastThe chart represents the 4-hour price movement of Bharti Airtel Ltd. on the NSE. Here is an analysis and summary:
Analysis:
1. Price Trend: The price has been making higher highs, indicating an upward trend.
2. Volume: The volume is relatively low despite the price making higher highs, suggesting potential weakness in the current uptrend.
3. Divergence Pattern: There appears to be a divergence pattern, which often signals a potential reversal.
4. Support and Resistance Levels:
- Resistance: The price has recently hit resistance around 1379.
- Support Levels: Multiple support levels are indicated at 1332.50, 1266.05, and 1217.15.
5. Possible Sell Signal: The combination of higher highs with low volume and a divergence pattern suggests a possible sell signal.
Forecasted Movement:
- Short-term: The price might experience a pullback or correction from the current levels. It is projected to first drop to the support at 1332.50.
- Medium-term: If it breaks the 1332.50 level, the next target would be around 1266.05.
- Long-term: A further decline could see the price reaching the 1217.15 support level.
Summary:
The chart indicates a possible bearish outlook for Bharti Airtel Ltd. due to the combination of higher highs with low volume and the divergence pattern. Key support levels to watch are at 1332.50, 1266.05, and 1217.15. If these levels are breached, it could confirm the downtrend and result in further price declines.
Airtelshort
Bharti Airtel Fractal AnalysisHere's a chart showing Bharti's movement. As you can see, in both cases we had a reversal at the top with a wedge formation. the Second drop was a sharp move below the ichimoku cloud.
Markets and charts are a reflection of traders' psychology. I'm expecting a similar pattern to evolve again as we continue to test resistance and fail before correcting atleast until the 78.6 fib level. That should be a good entry point for a long term position in Airtel. In the shorter term, a run to Rs. 465 is possible, which should bet met with strong resistance and fail.