Monday, April 19, 2010

Bharat Electronics Views!!!


Bharat Electronics (BEL) was already in the sell mode much before Nifty; hence it is kinda in an oversold state in the falling market. What you see below is the hourly and the daily chart of  BEL!


 From the daily chart above(to your left) we can see that BEL has drifted way too below the 20/50 MA’s and is trading above the 200 MA.…kinda in a suspended animation!  It needs to fall further and touch the 200 MA below, or at least pause here  and consolidate, so as to enable the 200 MA to rise or let the 20 MA overhead fall further to align itself with the price! The hourly chart (to your right) is also reacting form oversold levels with hints of positive divergence. The narrow range inside bar on the hourly (marked) chart gave a very good low risk entry (entry at 1860, stop at 1849, targets 1880 and 1900) for a tradable bounce!

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