How to find technically weak stock? #TechnicalAnalysis
Q - How to find technically weak stocks?
A - Today we will do a technical analysis of identifying technically weak stock.
Example - Laurus Labs
Considerations - This analysis will require higher timeframe as it requires vision from a long term perspective
* Laurus had a dream run, it became a star studded portfolio stock during its dream run
*1st sign: where you should have booked your profit is RSI - 94 Peak
* 2nd sign: the next rise couldn't go past previous high
* 3rd sign: the next pullback again couldn't get past its 2nd lower high formation
When all the above scenario happens with lower strength in RSI then look out for the next biggest accumulation support i.e - 377-330 on monthly level
377-330 good past accumulation happened, mostly it will get support around these levels. It will take some good amount of time to go past its previous glory(to discussed some other time)
A - Today we will do a technical analysis of identifying technically weak stock.
Example - Laurus Labs
Considerations - This analysis will require higher timeframe as it requires vision from a long term perspective
* Laurus had a dream run, it became a star studded portfolio stock during its dream run
*1st sign: where you should have booked your profit is RSI - 94 Peak
* 2nd sign: the next rise couldn't go past previous high
* 3rd sign: the next pullback again couldn't get past its 2nd lower high formation
When all the above scenario happens with lower strength in RSI then look out for the next biggest accumulation support i.e - 377-330 on monthly level
377-330 good past accumulation happened, mostly it will get support around these levels. It will take some good amount of time to go past its previous glory(to discussed some other time)