Torrent Power - Forming rounding bottom!

3 Apr 2017

Torrent power is forming rounding bottom in daily/weekly chart. The level 245 - 252 will be crucial as the price action will try to break the resistance. Jan 19th daily candle with high volume indicates investors have accumulated the stock around 190 - 195 level. The rounding bottom or saucer bottom is a long term reversal pattern which indicates a shift from the downtrend to an uptrend. This pattern forming in the daily/weekly chart indicates this script is turning from bearish to bullish . When buyers enter the market at a low price, it increases the demand for the stock . Once the rounding bottom is complete, the stock breaks out and will continue the uptrend. Keep it in the watchlist.