BHEL Chart set up and view

BHEL
CMP 66.60

Observations

- Long term trend is up

- currently in short term down trend

- trading between 20 day EMA (in yellow) and 50 day EMA (blue)

- there was a big gap down on 14 June 2021

- that zone may act as resistance for some time

- thereafter the stock has struggled to get past the orange line around 69.60

- the yellow zone is where the stock has support zone

- buying may be considered around 56-59
____________________________________________________________________________________________

Trading Strategy

- on any further rise especially towards 69.50, if I see the price getting rejected, then I would consider selling

- if price gets rejected at 20 day EMA itself, I might consider selling OTM Call options

- I would consider buying if the stock comes towards the yellow zone


Take care & safe trading...!!!

Trade active:

72 Call option sold at 1.15

Trade active:

72 Call option
Has come down from 1.15 to 0.55

Profit of 6300/- per lot so far

Happy trading..!!! 🙂

Trade closed: target reached:

Selling 72 Call Option gives desired results.
Profit of Rs 12075/- from strategy

Comment:

As discussed in the idea above BHEL has come in the yellow zone