Trade Idea of The Day - Central Depository Services India Ltd Target Rs.47 - Religare Broking Ltd
Central Depository Services India Ltd
BUY 23 NOV 1220 CALL SELL 23 NOV 1300 CALL Entry Range 24 – 28 Target 47 Stop Loss 17
Rationale
• From a technical perspective, CDSL witnessed a recovery from its prolonged 200-WEMA zone, indicating sustained buying interest near its crucial long-term support zone. As long as prices remain resilient above this level, it could provide a foundation for a potential bullish reversal towards the immediate resistance zone of 1320-1350.
• The key momentum indicator, 14-Day RSI, hovered above the 40 mark, while the MACD histograms are fading after forming a peak in negative territory, indicating an early sign of a bullish reversal. The robust bullish momentum would be confirmed by a decisive move above the immediate resistance zone.
• On the derivatives front, a long build-up has been witnessed, with rising prices alongside increasing future open interest, which would reinforce the positive outlook. Sustained buying interest could pave the way towards the 1,300-1,320 zone, as long as prices hold above the 1,170 support.
Please refer disclaimer at https://www.religareonline.com/disclaimer
SEBI Registration number is INZ00017433
