CAIRN on NSE settled at 162.10 and registered 7.96% gains for the day. Provided is weekly chart of CAIRN in which a strong down trend can be seen clearly. Recently, stock has changed its dynamics on weekly chart and a long term bottoming formation can be seen clearly on MACD indicator. Inverse head and shoulder pattern has emerged in this stock and this week stock has broken out above the Neckline of this bullish reversal pattern. MACD is now testing its signal line near centre line and MACD histogram is confirming MACD divergence that suggests increasing bullish momentum. Stock has formed a base above 20 weeks EMA which is itself a bullish trigger on short term time frame. However, 20 weeks EMA is staying below 50 weeks EMA but price has climbed above 50 weeks EMA that suggests increasing bullish momentum in this stock. Inverse head and shoulder bullish reversal has emerged after 16 months of strong down trend that increases the potential of this pattern. However, patte...
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