MARUTI trade ideas
Maruti Made New HIGHS - Trending up (5200 Next)Today, it was totally a buyers show as it was in Bajaj Auto (attested below). Buyers actively took the prices up and above from previous resistance level of 5015 and now it shall move further up and reach to 5200 levels before the profit booking takes place. It is a good time to enter with stoploss at 4920.
LONG Maruti Breaks out to NEW HIGHSAfter a long rectangle consolidation, the buyers have taken control and made a new high in prices. I believe it shall go higher as a new wave.
Maruti - Doji with Bearish Divergence (Sell)I have observed three doji candlesticks, that denotes consolidation or distribution, where previous buyers book profit or distribute their shares. It is at the level of selling or resistance. I believe it is a good time to short it now at minimum risk size and also at this point where Nifty is also looking bearish.
Further 3 points noted:
1. Doji formation with bearish divergence
2. Shrinking of volume levels with increasing prices, signals trend change, for this one, a bearish signal.
3. Double Top with bearish divergence.
Above points make me think that it is a good sell, with a stoploss of 4238 (1.28%) and target of 3922 (6%)
MARUTI - LONG TERM is going to Go DOWNNNNMARUTI - LONG TERM is going to Go DOWNNNN - It should break the 3900 Mark
Short Term - Maruti will Go till 4250 - 4275 LevelsShort Term - Maruti will Go till 4250 - 4275 Levels. But Long Term it will for sure Fall
Maruti - Wave Competition with Rising WedgeIt seems like maruti has steamed out with price action, where price is increasing but with low volume, showing weakness. I believe it has completed its 5 wave impulse move in its weekly chart.
In order to confirm the bearish trend reveral, I'm waiting for a break out from the ascending triangle or rising wedge to downward.
Maruti provides Short Term Opportunity for 3.5% to 7% In next 12-13 sessions Maruti offers decent returns of 3.5% to 7%. Stock currently trading to reach 61.8% retracement of last up move. This is where the opportunity lies where R:R is quite favorable. Once in the trade at around 3,575, use S/L as 3,535 (roughly 1%) which is a support level that lies between End of March till first week of April.
