Sell Grasim Ind Sep Fut at Rs 3031; SL Rs 3100: A C Choksi

According to A C Choksi, traders can sell Grasim Industries September future at Rs 3031-3065 with a stoploss of Rs 3100 for a possible target of Rs 2850-2620.

Holding period 4-5 week

On the oscillator front, if we look at weekly chart, Price is moving well in a Bullish Channel but it reached to the resistance line of the channel. RSI&MACD are trading near their resistance in weekly chart and RSI is moving in overbought zone. in overbought zone In daily chart, after the sharp rise from 2596 to 3069 (spot level), the stock touched the long term résistance line and halted. MACD and Stochastic Oscillator also took downward direction and moved below their respective averages, which supports the sell call on the stock. Looking at all these indicators and patterns, We expect price reversal on charts for short run. is showing negative divergence pattern in daily chart, which indicates reversal on cards. Negative crossover of RSI and its average also indicates weakness in the stock.

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