Stocks like IIFL, JM Financial and Capri Global are displaying excellent price action
Weekly chart of JM Financial shows a penant forming on the weekly charts.
97-100 remains the strong resistance zone. Current price action though shows that the stock is likely to break through the resistance zone.
IIFL has also shown a very good momentum and the stock is coming out of a consolidation which took place in an existing uptrend. 135 levels have proven to be a good pivot level. The next resistance level that we see is placed at 190 which will be a gap resistance that we had seen during the correction that took place.
The 190 levels if broken successfully will set-up the counter for a rally towards the 300 zones. As we see a broad based rally in the midcaps, and the stocks making a decent accumulation pattern on the weekly charts it gives a lot of confidence for the bulls in the counter.
This chart is self-explanatory and we can see the continued bullish sentiments that have prevailed in the counter. Despite the correction that one saw in the midcaps the stock defied that fall and has continued to be in a bull market of its own. The stock has been consolidating for the last two weeks and now could be looking at 240 levels if the broader markets are not too negative. The current swing low of 170 can be used as a stop loss for those looking for a long entry.