NCDEX Guar gum Weekly : A Cup And Handle Breakout Seen

NCDEX Guar gum Weekly

Current Relation to Oct 2016 contract : A Cup And Handle Breakout Seen

Report for Date: 03/10/2016

The trend is up in Guar gum futures on NCDEX.

Oct 2016 futures contract settled at Rs 6630 per quintal Friday.

A breakout has been seen in a Bullish cup and handle pattern and the prices are likely to rise further in the projected path marked with yellow dotted lines in the below attached chart.

Corrective dips to 6600 – 6500 can be used for taking fresh long positions.

Use stop loss of 6060 for any long positions.

Expect a rise to 8400 – 9300 levels which is 100% and 138.2% projection respectively.

INTRA-WEEK LEVELS FOR NCDEX GUAR GUM OCT 2016 CONTRACT

STRATEGY	CLOSE	DRV	TREND*	Trend Price	Trend Date	L1	L2	CP	L3	L4
Hold Long	6630.0	6417.0	UP	6520.0	9.09	5870	6410	6730	6950	7490

*Trend will remain Down as long as last close is below the pink color DRV. Trend will be Up as long as Price is above DRV. Positional Traders: If trend is up then traders long can hold long position with closing stop loss of DRV: Close >DRV. If trend is down, then traders can hold short position with a closing stop loss of DRV: Close <DRV. PRICE, VOLUME AND OPEN INTEREST STRATEGY

Last Close	Price G/L%	Volume	% V Inc/Dec	Open Interest	% OI Inc/Dec	Candle	Position
6630.0	-4.5	116120	-12.6	17881	-49.4	Negative	Unwinding

TECHINCAL INDICATORS TABLE

RSI	1-ROC-RSI	Stochastic	1-ROC- Stochastic	MACD	1-ROC MACD	RS	1-ROC RS
53.33	-7.32	63.90	-12.27	170.86	-2.84	57.40	-18.29

Disclaimer: There is risk of loss in trading in derivatives and the report is not to be construed as investment advice. The information provided in this report is intended solely for informative purposes. The author, directors and other employees of CC Commodity Info Services cannot be held responsible for the accuracy of the information presented herein or for the results of the positions taken based on the opinions expressed above.