Premier Energies breached the 1200 level last week. After which it immediately droppd and consolidated between 1100-1150. Now it has breached the 1000 mark, which I believe is a key support. I expect some more slippage to 980 or max. 970. But I believe a rally to around 1240-1270 in the coming 1-2 weeks.
Historically a drop below 1050 has resulted in an rebound to 1100-1150 at cheap prices, but not above 1150. I attribute the drop to overall index slippage and negative sentiment on oil and energy stability. But with the 1000 mark being crossed, I expect a strong rally in the same time period mentioned about to 1200+ levels, after which we can expect some consolidation but not as much as a drop as before.
