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BEL: Chart set up and trading strategy

NSE:BEL   BHARAT ELECTRONICS
BEL

Observations

- the zone of 156-160 acted as resistance in March, May and June 2021

- breakout occurred in 2nd half of June

- this zone may likely see reversal of role going forward.... meaning previous resistance likely to provide support

- the zone of 180-186 saw lot of consolidation / distribution

- currently trading below the resistance zone


given the set up for any fresh Cash buying, ideally I would wait for 158-160 zone

However I would keep an alert at 169 and below 162. In case I see 168 levels being held I might consider buying 25-30% of my planned buy over there.

What if it doesn't come to those levels but goes up, Simple I wont buy and let the opportunity pass... 🙂
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Strategy for F&O

given the resistance zone around 180-186

Consider selling 190 Call option currently around 4.5

Max profit potential Rs 17100/- per lot (yield potential of approximately 12.4%) till 26 August

The strategy has an inbuilt risk cover for a rise up to 194.50

Take care & safe trading...!!!

Disclaimer
- The view expressed here is my personal view
- Past performance is not a guarantee for future predictions
- Use this for educational purpose
- Any decision you take, you need to take responsibility for the same
- It's your hard earned money. Treat it wisely
- Trade / Invest keeping in mind your trading style, goals and objectives, time horizon & risk tolerance
- if trading in F&O, understand that F&O trading involves risk
- Do take proper risk management measures
- Do your own analysis and consult your financial adviser if need be
Comment:
Strategy update: 190 Call Option

From 4.5, it has come down to 3.5

Enjoy and happy trading..!!!
Comment:
Our strategy update
Suggested selling 190 Call option at 4.5
CMP 0.9

That's a profit of Rs 13680/- per lot

Consider Booking profits and closing the trade
By closing below the resistance line BEL charts indicated beforehand that the reaction to result NEWS would be possibly negative....

NEWS is out and the stock is down 6%....

Still wanting to depend on NEWS?

or be a step ahead and listen to charts directly

Like and Follow for more such ideas
Comment: The F&O strategy worked very well and gave the desired results.
Results were bad but BEL took support exactly at levels identified with Technical Analysis.

Cash buying around 162-168 which has been mentioned in the above write up has also given a 10% + return

Enjoy...!!!😀
Trade closed: target reached:
BEL has achieved it's mirror image target.
The stock has given an approximate 20% ROI. Book profits

Comments

Hi Sir,

I have bought BEL 200 CE @3.80 rs currently it is 2.20..Could you tell me whether it will goes up in coming days..or I have to close the position
Reply
@nallujoy, 200 would be difficult this month. Better to exit
Reply
Q1 Results are very poor.. can we the levels back to 160 or 150 on monday
Reply