Bull Market tests conviction of market participation from time to time. There is hope that boat will not sink and bull market will be alive and kicking in the stock. Here are two stocks to watch out for where tussle is on -
Bajaj Auto at 100 week ma
Bajaj Auto stock has always defended 100 week ma on closing basis since 2012. The stock is once again back to 100 week ma. Will Bajaj Auto believers come and defend the stock at current levels. Technically, they should. Such pullbacks offer great entry opportunity for long term believers in the stock. Traders use such opportunities to create low risk positions with tight stop loss. It's always fun to watch stocks near long term support.
ITC at 100 week ma
ITC is another stronger stock that is trying to defend 100 week ma - level which it has not breached since 2010. Will ITC believers defend the stock again? You never know. The stock is stretched and it's going to be interesting tussle between bulls and bears here.
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Disclaimer – The state of the market notes is Deepak’s perspective on the market. The column is purely for educational purpose. Nothing contained herein is a solicitation to trade or a recommendation of a specific trade. By reading this publication you agree to make no trade relying in whole or in part on the comments of the writers