Technical charts to watch out for on Thursday
Plastiblends India: Considering the daily chart, the stock has given a 40-day consolidation breakout. This breakout was supported by a robust volume of more than five times of 50-day average volume, indicating strong buying interest by the market participants. Additionally, the stock has formed a sizeable bullish candle, which adds strength to the breakout. All the major indicators suggest a bullish momentum in the stock. The RSI (65.80) is just above the bullish zone and has surged above its prior swing high. The MACD is above the zero line and the signal line. The MACD histogram suggests bullish momentum. And most importantly, the MACD line crossed the prior swing highs. Technically, all the factors are currently aligned in support of the bulls. Hence, we would advise the traders to be with a bullish bias. On the downside, the 20-day EMA is likely to act as crucial support for the stock, which is currently placed at Rs 272.80 level.
Birlasoft: The major trend of the stock is bullish as it is trading above its short and long-term moving averages. These averages are in rising mode. Since June 2021, the stock is oscillating in an upward sloping channel. On Wednesday, the stock bounced back from the edge of the lower trendline of the rising channel. In addition to this, the stock has closed near the day’s high and formed a sizeable bullish candle. The reversal from the support zone is supported by the above 50-day average volume. From the momentum indicators’ perspective, the 14-period daily RSI has surged above the 60 mark, which is a bullish sign. The fast stochastic is also trading above the slow stochastic line. Both the indicators are also supporting the overall price structure. Going ahead, the 20-day EMA is likely to act as crucial support for the stock. While on the upside, the upper trendline of the rising channel may act as resistance for the stock, which is currently placed in the zone of Rs 451-Rs 455 level.
IndusInd Bank: On Wednesday, the stock has given a downward sloping trendline resistance breakout formed by connecting swing highs from July 2020. This breakout was supported by the above 50-day average volume. Talking about the indicators, the MACD line has recently crossed the signal line and the histogram became green. The 14-period RSI on the daily timeframe has marked a fresh 14-period high. Also, the RSI has surged above its prior swing high. Moreover, the surge in +DI is suggesting that the trend will strengthen further. These technical pieces of evidence indicate a strong bullish momentum. Going ahead, the zone of Rs 1,060-Rs 1,068 will act as crucial resistance for the stock. On the downside, the 8-day EMA will act as immediate support for the stock, which is currently placed at the Rs 1,018 level.
