BPCL - Trend is your friend - Avoid Buy below 651

WaveTalks Updated   
S-L-S (First Short- Later Long- Finally Short)- Once Market respects the levels mentioned.

*Note-Any potential buy positions to be considered only above 651 -if sustains or in the zone 598-605

When I started reading the basics of technical analysis years ago - I came across a term - "trend is your friend"- never go against it in the Bible book Technical Analysis by-Edwards & Magee. You will have hole in your pockets if you still try to go against market forces & Knowing about key & critical levels which play vital role in the analysis is of utmost importance.

Since the top@733- No doubt the fall is impulsive & it has formed a resistance between 645 -key level & 651-critical level from short term trading scenario.

Trading Strategy

Scenario 1- Look for a sell below 632 lows or when low@632 is broken with stops above 640 for target in the gap zone 625-627

15 mins chart

Scenario 2- If the gap zone 625-627 holds, then we look for a push upside or taking buy call keeping stops below 620 for target zone 637-640.

Scenario 3- If It holds finally in the zone 637-640 keeping our key level intact which is 645 or stops above 645-key level for target 620 & below 620 for 598-600 zone which is an important support zone.
Trade active:
10:47 Hrs 16th March2017

Last Price@640

Went to high@642 - Risk Takers should have taken sell close to 645 -key level as they could just lose 3-4 points & Gain shall be 15 points in the gap zone 625-627.
Trade active:
10:22 Hrs 17th March2017

Last Price@641

Critical Level@651

Day High@650

Falls from just below the critical level@651- These are trades which risk takers take to lose 1 point & gain maximum.

Trade active:
13:10 Hrs 21st March2017

Last Price@437

Market attempt 2 times 650 & 649 -go close to 651 & falls - awesome

Trade active:
14:15 Hrs 21st March2017

Last price@641

Downside level of 632 is intact- Wow!- It makes a low 633-634 & bounces above 632 for 641.
Close of 650 could be tested again -possibily in the zone 644-647. Critical level of 651 should not be taken out on upside else there could upside move in the counter .

Best Regards,
Abhishek H. Singh
​Growth Director - TradingView India

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