There is a saying when stock does something again and again - it will keep on doing so till it stop doing so.
If a stock bounces off everytime it declines to 50 dma, it should bounce next time it declines to 50 dma. Isn't it?
Well Let us see if it happens in next 3 days in case of Muthoot Finance.
Here's the Daily Chart
As you can see in the chart above: Muthoot Finance since November has always bounced from 50 dma. Right now, stock is near 50 dma. Will it bounce this time? Technically, it should. We will see
The blogpost is purely for educational purpose. Please do your own due diligence before investing or trading.