Timeframe: Daily
NSE REC has been in a corrective phase for over 23 weeks. The Average True Range (ATR) is currently 19.16, while the Average Directional Index (ADX) stands at 29.29. REC has broken below the 100 EMA and is now finding support at the 200 EMA. We may see the final wave (5) of wave ((C)) before a bullish move resumes.
The REC LTD daily chart shows a wave (4) triangle pattern, which signals a consolidation phase within a larger bullish trend. A breakout from this triangle could indicate the resumption of an upward trend, with a potentially bullish signal emerging if prices break above the resistance level at 541. If the price breaks out 541, traders can trade for the following targets: 580 – 620 – 650+
On the downside, important support levels are marked by the Fibonacci retracements at 50% (455.9) and 61.8% (435.8), which are often seen as strong support levels in technical analysis. The 1.618 Fibonacci extension level at 448.8 also provides an additional target within this zone, which could attract buyers if prices reach it.
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Great insights! How much weight do you give to the ATR in forecasting potential price movements for REC LTD?
Great breakdown of REC LTD! I’ve been seeing great results with your recommendations.
Your calls have been on point! Interested in more updates like this for clients who want to stay ahead in the market.