1. On the 2nd of October 2020, I wrote in my weekly blog of bank nifty regarding the direction of the trend this week and quoting point no. 2 of the trade plan section as proof of my statement made one week ago, of real price movement. "On the contrary, If the price takes out the pink dotted zone upside then the price will see more upside." Here you can see the pink dotted zone when taken out in both 1hr & 15 min time frames it went north.In every post ask why the levels I set one week ago price follow religiously. When I write my wordings why they show so much confidence in price movement despite big in the market? Where the next moment is uncertain. The same confidence has been proving since I wrote my first blog six months ago. More then 215 + posts every post is proving this confidence. The more you study, the more depth you create in your analysis. This is a continuous process. Many traders are earning by following my analysis comment box is full of these comments. Why I mention this because to prove to new traders if you study hard, you can earn daily.
2. Now see the red circle in the current fig that is made on the lower end of the zone after that boom. This is the accuracy I provide in my every post. See in the first attempt taken out condition was not fulfilled. Later in the second attempt when a candle was made the taken-out condition got fulfilled in both time frame and boom. setting the previous fig for matching my statement with this and current fig.
Trading Plan for next week.
1. I made a pink color resistance line if it is taken out in both time frames then you will see a small up move. And the price would come below the pink line. Technically 27 will act as support first time and will provide a weak bounce. This will be broken in this week and convert uptrend into down for a few days.
2. If this price takes out a green support line in both the time frame then the uptrend will convert into a downtrend. But one should not short the market at this stage whereas one should wait for any bounce then shorting will be good as compared to the risk-reward ratio. Both arrows showing the direction only.
3. I feel the price will remain range-bound between the upper and lower limit. For new readers taken out condition is as follows:-
Taken out condition works in the two-time frame combination for daily( 4 hr + 1 day) analysis. Similarly, work for lower time frames is also a two-time frame combination. For intraday trades 1 hr with 15 min. For taken out condition price has to complete in both time frames. Aggressive traders can take that side position in a lower time frame with the stop loss of breached candle low. In both the time frames given line is breached by a candle that candle high is to be breached by the next candle and close should be above the previously breached candle. This is how taken out condition is being implemented.
Disclaimer:- All trading positions should be taken from consulting your financial planner. This study is for educational purposes only.
In the first point, I wrote if upside condition gets satisfied on the next trading session then the price will travel a small distance. On the contrary, if the price moves down without fulfilling upside condition then the scenario will change. Next attempt after the good down move then orice satisfying taken out the condition will travel more. That keep in mind.