CENTURYTEX forms Three Inside Up candlestick pattern

The stock of Century Textiles & Industries Ltd has formed a Three Inside Up candlestick pattern on the daily scale. The Three Inside Up pattern is representing the confirmation of the Bullish Harami Pattern, which shows the success of the forecast. 

In this pattern, the first candle is a long bearish candle, which closes near its low. Second candle is a small bullish candle, which gaps up from the first candle and closes inside the body of the first candle, thus creating a harami pattern. Third candle exceeds the high of the first two candles.

On Friday, the stock has managed to close above its weekly pivot and short-term moving average. The leading indicator 14-period RSI is currently quoting at 45.35 and it has managed to close above its 9-day average. The daily MACD stays bullish as it is trading above its zero line. The stochastic oscillator is also suggesting some bullish strength as %K is above the %D.

Going ahead, the zone of Rs. 940-Rs. 940 is crucial resistance for the stock as 20-day EMA and 50-day EMA is placed in that region. On the downside, the Wednesday's low of Rs. 890 is likely to act as crucial support for the stock.

On Friday, the stock of Century Textiles & Industries closed at Rs. 925.65 per share, surged by 1.74 per cent. The stock opened at Rs. 909 per share and hit an intraday high of Rs. 932.60 and a low of Rs. 909 per share on BSE.