Bajaj Finserv Limited is a holding company whose subsidiaries are engaged in the business of financial services, insurance and wealth management.
1. Its long term trend is up as price is making a higher top higher bottom formation and mid and long term EMA’s are moving upwards.
2. If we consider the previous swing of 1725 – 3480 and draw the fibonacci retracements , we can observe that the price has formed a bullish harami followed by a 4.8% uptick today ( 27-12-2016) at the 50% retracement level. Any pullback towards the 50% retracement level is a healthy pullback and has a high possibility to result into an upward rally. The fibonacci extensions project price at 4178 and 4540 ( 52 % and 65 % respectively from cmp of 2743 )
3. To make our case stronger , the price has bounced off the 200 day EMA. This is generally a hotspot for the institutional buyer. The last time price hit its 200 day EMA , the price rocketed from 1762 to 3480.
4. Last but not the least , for the short term trader, the price is bouncing off point 5 in the Bullish Wolfe Wave. Any long setup at cmp might fetch a 16% ROI with Risk Reward of 1 : 2.8
If you are not well versed with wolfe waves, then you can read about it on http://www.investopedia.com/articles/trading/05/040405.asp