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Is Ceat A Buy After A Steep Correction??

Is Ceat a buy after a steep correction??

 The 50 percent retracement of the larger swing in Ceat lies at 1029 where the fall in the stock halted. This also happens to be the Fibonacci confluence zone and hence a very strong support for the stock. For the stock to remain in a bull trend the 61.8% of the larger swing should be intact. Since the stock reversed from the 50 % levels it’s an indication that the bull trend is still intact. The stock reversed from the lows of 1029 all the way to 1380 and is again back to the support zone. On its second attempt to the support zone the stock did not make a new low and that’s a positive indication. The lower high and lower low formation stands broken. In the same zone we also have a falling trend line support . A Doji at the support zone is further supporting the reversal theory.Therefore multiple supports in the zone gives the stock a high probability to move up from the current levels of 1125. The first resistance is at 1256 and then 1380. The second target is some 22 percent from the current levels. The RSI is also bout to break the 40 levels and that will further bring in the momentum in the counter. 

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