It was a spectacular 8 per cent rally in ONGC last Friday that made the stock close well above the short-term resistance at Rs 820. Target of the third wave from Rs 637 trough gives us the next target at Rs 926. Fibonacci retracement of the long-term down-move gives the next target at Rs 962. In short, those holding long positions can allow their profits to run till the stock reaches the band between Rs 920 and Rs 962. A firm close below Rs 820 is required to mitigate this positive view.
Short-term trend in ONGC is also positive. The strength in weekly and monthly oscillators indicates that this is one of the first pivotals to shake off the bear market blues.
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