Trade Idea of The Day - Eicher Motors Ltd Target Rs.255 - Religare Broking Ltd
Eicher Motors Ltd
BUY 28 APR 6500 PUT Eicher Motors Ltd Entry Range 180-190 Target Range 255 Stop Loss 150
Rationale
* On the daily chart EICHERMOTOR has formed a decisive shorting pivot after slipping below its long-term 200-DEMA, indicating a shift in primary trend from bullish to bearish and sustained trading below this level signals wane trend.
* On the technical front, prices are broken below the rising trendline support, confirming structural damage on the charts. Lower highs and lower lows suggest continuation of the downtrend in the near term.
* Momentum indicators remain weak, with RSI hovering below the 40 mark and the MACD histogram traded in a negative trajectory on the daily timeframe, highlighting persistent selling pressure.
* Any pullback towards the 200-DEMA or recent swing high of 6750 will likely to face further selling pressure, making rallies a potential shorting opportunity.
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SEBI Registration number is INZ00017433
