SBI a Good Buy for Long Term at current Levels

State Bank of India (Click the image to enlarge)

SBI appears to have completed a 3 wave correction pattern or there is another possibility that it goes to 1900 levels to complete the correction.It may begin new uptrend very soon according to Elliot Wave theory.

Qualcomm Chart

(Click to enlarge)

Useful Term used below -Stop Loss: The point at which I will cut my position is called Stop Loss.

Qualcomm stock is in a range of around 30 to 55 from 5 years.So there is no clear uptrend or downtrend in this stock.

What do I do now?

If I don't hold the stock then:

Stock is in a range of 30 to 56.So I buy the stock at around 30 and sell it around 50.One day it will breakout above 56 or breakdown below 30 which nobody knows and till that that time its best to trade assuming that it will be in range which it is doing for last 5 years.

Note: The day it crosses 56 and stay above that for few days then this stock will be a compelling buy and vice versa.

If I hold the stock:

I would keep a trailing stop loss at the recent support of 42.50 from here on to protect my profits and let the stock move up ward and we follow that.

Note: The Stop losses needs to be updated regularly.

(Disclosure: These are my personal views which can be right or wrong.I am not responsible for any profit or loss incurred using this info.)