It was expected that a spike in crude oil prices after drone attacks on Saudi Armaco that may pressure on total supplies would expand the deficit in Balance of Payments of India but a bloodbath of 171 points have spiked the standard deviation in the market. The index opened on a flat note at 11,000 levels but failed to continue for upside and started moving lower after slipping below 10,950 levels that triggered the ‘Gravestone Doji’ candle stick formation in previous trading session and activated more sellers to push prices lower. Out of 2120 stocks, 501 are trading in advanced, 1233 are trading in red and 386 are unchanged. All indices are trading in red while private banks lost the most, currently trading at 15,137.85 levels, erased 2.40% below from its previous close. On daily scale, the index has witnessed a steep fall after sensing resistance from primary trend line placed. The index is trading below 100 days Exponential moving Average. Potential support is placed at 14,847.45 levels. RSI is trading at 41.75 levels and slipped below the trend line that was continuously providing cushion. DMI’s failed to provide any convergence with ADX trading at 26.36 levels. Although Directional Movements and RSI are not the only indicators to dictate the future prices, one can make use of other tools like Fibonacci, Andrew Pitchfork, Chart and Harmonic Patterns.
Some stocks of this counter are also witnessing heavy volumes and momentum that are convincing the emerging trend.
- Axis Bank: Top loser in today’s session is trading at 644.5, 3.98% below from its previous close. There has been a block deal of 86,672 shares on Sep 04, 2019. The stock is trading below 50 days Exponential Moving Average.
- Indusind Bank: The stock is trading at 1,332.65 levels, 3.12% below from its previous close. There has been a block deal of 51,188 shares on Sep 11, 2019. The bank is trading near its 52-weeks low levels.
- ICICI Bank: India’s second largest private sector bank is trading at 403.90 levels, 1.95% below from its previous close. There has been a block deal of 154,441 shares on Sep 03, 2019. The stock is trading above 150 days Moving Average.