Welspun Corp managed massive rally between April and August 2015 on back of turnaround in earnings. But in last few months, stock has lost momentum and is back to 200 dma. The big question: Can stock pick up strength and rally again?
Here's Welspun Corp Daily Chart
Any bounce in Welcorp Chart from 200 dma will attract lots of buyers. It will give a sense that stock has put a floor and ready to rally. A close below 200 dma will lead in massive disappointment and more short term liquidation in the stock.
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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