WHEN HIDE & SEEK OF BNF WILL END SEE IN ANALYSIS ?
Hi Traders,
1. On 1st July 2020, Post I mentioned in point no. 3 of the trading plan is quoting for your consideration " The same green arrow shows an upper target if the starting of the arrow on green resistance takes out in 1 hr time frame then the green dotted line will be the target. " You can see the price opened gap day next day and fulfilled taken out the condition on both time frames of 15, 1 hr. But if you see the candle marked in gree circle it took exact resistance on blue zone upper end and made it reversal candle. The confirmation came when the next big bearish candle formed. This is the time when long positions holders get cautioned and thereafter a pullback was seen but it also got selling by a big bearish candle. This means sellers are more active than buyers. Had I held any long position, I would have closed it with this information. Since green support is not taken out but still I would have covered it.
2. Where I marked a pink line this was the second attempt of buyers to take price up that also fizzled out though green support is not taken out. When this sort of scenario I face on the chart I always cover my positions of any side. It means the price is going into no clue zone of confirming direction. That can go either side. Sometimes we have to use our brain also as you all know in the last post my target was a green dotted line. But you also know that whatever levels I mark all are reactive and have the potential to change trend or to give pullback. So the same is with this case first hr gap up candle took resistance on the blue zone upper band proves it.
3. For the first time, readers taken out condition is a must for understanding, so writing for them. 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 next candle and close should be above the previously breached candle. This is how taken out condition is being implemented.
Trading Plan For the next session.
1. As far as the structure is negative which is going to no direction zone already discussed above. So I will wait to go in trade any sides till I get clarity on moves. I made one pink line to move up this line is to be taken out in 15 min time frame then being aggressive trader I will see buy set upon a lower time frame of 5 min and will take long with strict stop loss. But long side confirmation will be seen when the 1hr condition validates it.
2. On the contrary, If price trade-in yellow zone I will not like to trade in this zone. Rather I would like to wait for clear vision.
3. If yellow zone lower band is taken out in 15 min time frame then with stop loss I will open shorts in finding sell set up in 5 min time frame.
Always remember If the price is ready to go in trend then your sl on 15 min time frame will not activate. It will get activated only when the price is in range-bound trades. The target will be the upper band of the green zone.
4. If bnf has to go up then price if opens gap down, it should recover in 30 mins to cross green resistance between the pink and yellow line. The rest price will decide.
Please note that due to personal reasons I would not be able to make a regular post on nifty and bank nifty so get yourself adjusted with this routine.
YOGESH VATS
Disclaimer:- All trading positions should be taken from consulting your financial planner. This study is for educational purposes only.
1. On 1st July 2020, Post I mentioned in point no. 3 of the trading plan is quoting for your consideration " The same green arrow shows an upper target if the starting of the arrow on green resistance takes out in 1 hr time frame then the green dotted line will be the target. " You can see the price opened gap day next day and fulfilled taken out the condition on both time frames of 15, 1 hr. But if you see the candle marked in gree circle it took exact resistance on blue zone upper end and made it reversal candle. The confirmation came when the next big bearish candle formed. This is the time when long positions holders get cautioned and thereafter a pullback was seen but it also got selling by a big bearish candle. This means sellers are more active than buyers. Had I held any long position, I would have closed it with this information. Since green support is not taken out but still I would have covered it.
2. Where I marked a pink line this was the second attempt of buyers to take price up that also fizzled out though green support is not taken out. When this sort of scenario I face on the chart I always cover my positions of any side. It means the price is going into no clue zone of confirming direction. That can go either side. Sometimes we have to use our brain also as you all know in the last post my target was a green dotted line. But you also know that whatever levels I mark all are reactive and have the potential to change trend or to give pullback. So the same is with this case first hr gap up candle took resistance on the blue zone upper band proves it.
3. For the first time, readers taken out condition is a must for understanding, so writing for them. 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 next candle and close should be above the previously breached candle. This is how taken out condition is being implemented.
Trading Plan For the next session.
1. As far as the structure is negative which is going to no direction zone already discussed above. So I will wait to go in trade any sides till I get clarity on moves. I made one pink line to move up this line is to be taken out in 15 min time frame then being aggressive trader I will see buy set upon a lower time frame of 5 min and will take long with strict stop loss. But long side confirmation will be seen when the 1hr condition validates it.
2. On the contrary, If price trade-in yellow zone I will not like to trade in this zone. Rather I would like to wait for clear vision.
3. If yellow zone lower band is taken out in 15 min time frame then with stop loss I will open shorts in finding sell set up in 5 min time frame.
Always remember If the price is ready to go in trend then your sl on 15 min time frame will not activate. It will get activated only when the price is in range-bound trades. The target will be the upper band of the green zone.
4. If bnf has to go up then price if opens gap down, it should recover in 30 mins to cross green resistance between the pink and yellow line. The rest price will decide.
Please note that due to personal reasons I would not be able to make a regular post on nifty and bank nifty so get yourself adjusted with this routine.
YOGESH VATS
Disclaimer:- All trading positions should be taken from consulting your financial planner. This study is for educational purposes only.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.