There is a candle at the closing session having day high@18890---Open@18801---Close@18809--- Low@18785
Spinning Top Pattern
When there is a small gap between open & close (small real body) for the session & prices get rejected from the top is known as "spinning top candlestick" -Its a single pattern & very strong pattern for reversal.
In the present case the last candle for the day opened at 18801 & closed at 18809 hardly a difference so we have a small real body between them & a big wick or shadow on top or upside-suggesting that sellers became active for last session of the day & taken over buyers so-we got a wick on top.
Gap as Target Zone
We have an unfilled gap as of today@11thJan2017 between 18440-18515 likely post trade execution & keeping strict stops we will look for this gap as our target zone.
In tomorrow's session - we will wait to see if any bounce happens & in that bounce obviously should not take out recent high@18890+ & when this happens then we wait for price to start falling back below 18800-which will activate the sell call with stops above 18890 -- Targets mentioned above
They can take selling if the price bounces close to high@18890, but fails to take out the high. Then, keeping stops above 18890 - initiate the trade for 18450-18490 zone. So, you need to judge where to sell keeping in mind 18890 levels.Targets mentioned above
One should also book in between or trail the stops if price starts moving in the desired direction.
Apologies! to all
There is a big mistake in the name- It is "shooting star" instead of "spinning top" In spinning top has almost similar size wicks or shadows on upside or downside but definitely should be bigger than real body.
Here, Lower shadow is negligible as compared to realbody size so a powerful pattern- "Shooting Star"
Falls Sharply from day's high- went upside to take stops. We still wait for confirmation- hold yourself.
Day's high holding so far - most likely we will be taking a short side trade today.
Going below 18800 -it should sustain down & cannot jump back upside- so one should wait for selling below 18800-if sustained for 5-10 mins or it bounces from 18800 close by zones to 18900-18930 zone -there look for reversal signs or selling with strict stops above 18967-Day's High.
Sold right at the top between 18920-18930- Trail your stops at cost -was a risky call going below 18800- we see more weakness to come.
Doing sideways between 18920 to 18820- Weakness can be seen only below 18800 as per above update.
Price testing trader's patience - welcome to the real world of trading- first thing one should learn in the markets is "psychology"- Study human mind- emotions which is the real enemy or obstruction in the path.
If you can beat your emotions -no one can stop you, but efforts are required to control emotions- example- Captain cool- The Legend--M.S.Dhoni
Strong Support Zone 18750-18800 - Market has not corrected as expected, but doing a timewise correction that indicates the upside trend continues above 19000. In between it will be buy on dips & sell on high- Any sustained move above 18970 & crossing 19000 shall take BN to new highs.
Jumps above 18800 making low 18803 should be careful- BN should not dip below 18800 marks- kind box movement as buying on dips & selling on highs unless either side gets broken to show us the way.
Broke 18800 marks -we will wait to take sell only if sustains below 18800 so avoid positions here- it is choppy at the current moment.
Sustain means 5-10 mins below 18800 then it will give confidence in selling trade else it chops the trader.
Its a choppy move in the box between 18800- 18970 so book 50 points here -if bought & try to re-enter again at bottoms.
Now we will look for a buying opportunity in the zone 18820-18840 with stops below day's low@ 18780
BN is doing time wise correction instead of price correction wise correction suggesting that some room is left upside.
Scenario -1 Buying opportunity either going beyond recent high 18967.
Scenario-2 Next Buying Opportunity can be if BN drops in the zone 18820-18840 with strict stops below 18780-day's low for targets 19000+
Scenario-3 Waiting for BN to drop in the zone 18820-18840 & nut jumping on the running train -my favorite & going beyond 18900 -likely runs upside for target zone 19000+
Market is choppy wave & can trap traders -do not try to enter in between either bottoms 18780-18800 or Highs selling close to 18967
There was couple of opportunities today -once it rallied early morning above 18800 & selling at 18920-18930's close to top@18967.
You need to trade this way as mentioned below
Hi, take part in buying opportunity in the zone 18820-18840 only keeping bottoms intact @18780's