Buy NCDEX Chilli July; target Rs 6150-6315: Way2Wealth

Way2Wealth's special report on NCDEX Chilli -

NCDEX July Chilli; A “double bottom” chart pattern is under progress on daily charts and the neckline is pegged at 5745 levels. Any sustainable close above the same with a considerable volume will confirm the short-term trend reversal and intact the bullish momentum. According to chart pattern 6150 would be the conservative target on up side, aggressively it can extend up to 38.2 percent Fibonacci levels i.e. 6315 levels.

The momentum indicators RSI placed in positive territory supporting our view and a long-term momentum indicator MACD has also given an upside crossover to retest the signal line.

Strategy: Chilli July NCDEX:

Buy 1 lot above Rs 5745 levels target Rs 6150 then Rs 6315 with stop loss of Rs 5530…(CMP 5650)
Risk/return ratio: 1 :> 2
Risk: 10750 (on 1 lot)
Return: 24875 (Average on 1lot)

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