Technical: Soya Oil Indore - Correction Down Trend In Progress

Dated 29/05/2017

Correction is being witnessed and the halt is at the trend line as shown in the chart.

Weakness will resume on fall and close below 615.

Correction can deeper and could get translated into a larger fall below 615 closing.

In that case expect 575-565 could be tested.

Resistance will be at 645. A rise and close above 645 can trigger a pullback towards DRV which is around 661.

DRV is flat and horizontal therefore expect sideways volatility under 661 for near term.

Reversal for pullback is above 645 and till then the momentary bias is to move below 615.

Conclusion

Exit long on rise to 645 and 661 as the opportunity arises.

Near term pullback to resistance of 645 possible if immediately does not fall below 615.

Sell and downside momentum is below 615.