SAIL FUTURE WEEKLY CHART
With markets not only at home but also overseas turning bullish, one should look for buying opportunites. In my view, Nifty Future can - over the next couple of weeks go up to 5600-5700.
With this backdrop, I find SAIL weekly chart given above, gives a safe opportunity for investor/trader.
In the attached chart, you will find that Sail has been consolidatting for the past 19 weeks and is now ready for a breakout from a triangle pattern. The breakout happens at 94 (last weeks' High 92) and gives an eventual target of 141 as shown in the chart. Though the breakout from triangle is at 94, it will gather momentum above 100 (previous High) and face hurdles on the way up at 110 - 116 - 127 and major resistance at 140-145 range.
In view of the above, one can consider going long around 92 with stop loss just below 88. As we are just at the beginning of a new FNO settlement cycle, one can even consider buying Rs. 100 Call available around Rs. 0.75 to Re 1/-. With lot size of 4000 shares this will entail maximum investment/risk of Rs. 4000/- .
With Best Wishes,
Ketan Asher.
