Technical Analysis Hindustan Petroleum.

The stock $HINDPETRO is currently trading at 402.90 and is showing strong signs of recovery. After hitting a high near the 500 level earlier this year it went through a sharp correction dropping all the way down to a solid base in the 310–320 zone around late March and April. From that lower base the stock has reversed its trend. It is now forming a clear pattern of higher highs and higher lows on the daily timeframe which is a classic indicator of returning bullish momentum. Breaking and closing above the psychological level of 400 is a positive sign. Immediate support is strong in the 380–390 zone with a major solid base firmly established down at 310–320 where heavy accumulation started. On the higher side the immediate resistance it needs to cross is the 420–430 supply zone. If it breaks through this level with strong volume the next major hurdle is near 460 which would confirm a much stronger uptrend. For short-term buyers entering on small dips near the 380–390 support zone offers a safe entry or you can wait for a strong breakout above 430 to catch fresh momentum. If you are already holding the stock continue to hold your positions to confidently ride this positive trend of higher highs. Just remember to keep a strict trailing stop-loss around the 380 level to protect your gains from any unexpected market reversals. Technical analysis is based on historical patterns and does not guarantee future results. Always use a Stop-Loss to manage your risk.