Relaxo has been one of the market leaders in footwear..OPM has been increasing steadily... breakout from channel with large volumes, always a good sign.
Target - 1111 ( short term)
Calculate you RR ( risk reward) ratio properly before taking the trade. Best entry would have been 996 or thereabouts... i have marked the target levels considering S&R.
The analysis is done purely on basis of price action and chart patterns.
The analysis is done on Daily TF with a long term view. Hence price may take several weeks to months to reach the target.
Trade Set-up as well as logic has been given in image itself.
Kindly refer the below chart of NIFTY CONSUMPTION chart - RELAXO is a part of NIFTY CONSUMPTION INDEX.
Relaxo Footwears have broken out of the Channel/Triangle pattern and has retested the breakout area. Entered long with strict stop loss. If going further below, better to exit without a second thought.
Possible target just below a recent resistance area.
Relaxo Footwears Ltd. engages in the manufacturing and sale of footwear products. Its brands include, Flite, Sparx, Schoolmate and Bahamas. The company was founded in 1976 and is headquartered in Rohini, India.