AbhishekHSinghCMT

BPCL - Trend is your friend - Avoid Buy below 651

Short
NSE:BPCL   BHARAT PETROL CORP
11
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.

Analysis-
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, CMT
​Growth Director - TradingView India

YouTube Channel https://www.youtube.com/channel/UCYcnYveYBNLD-Qp54hvZogw

Twitter Handle
https://twitter.com/TalksWave

Telegram Handle
(Deleted)
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.