GSPL 1D
Swing Trading Strategy:
Instrument: Gujarat State Petro Ltd (NSE)
Timeframe: Daily Chart (1D)
Chart Analysis:
The price recently pulled back to a previous resistance level around 408, which is now acting as a support.
There is a visible confluence of multiple EMAs (20/50/100/200), which provides a trend-following environment.
The stock is showing signs of continuation after a corrective phase, with low volume during the correction (marked as "DEAD VOL").
Entry Criteria:
Buy Entry: Enter a long position above 408, as indicated on the chart. The entry is set slightly above the resistance-turned-support level to confirm bullish momentum.
Target:
Target: The primary target is set around 465. This target is calculated based on the recent swing high, showing a potential upside of approximately 10.94% (marked on the chart).
Risk Management:
Limit your risk to 1-2% of your trading capital per trade. Calculate your position size accordingly based on the distance between your entry and stop loss.
Exit Strategy:
Partial Exit: Consider booking partial profits if the price reaches halfway to the target (around 435) and move the stop loss to break even to secure gains.
Full Exit: Close the remaining position once the price reaches the target of 465 or shows signs of reversal near that level.
Volume Confirmation:
Watch for increasing volume as the price approaches the entry level of 408. This would indicate buying interest and confirm the breakout attempt.
Additional Notes:
Monitor the EMA levels closely. A bullish crossover or the price staying above these EMAs would further strengthen the trade setup.
If the price fails to sustain above 408 and falls below the stop loss level, consider the trade invalid and wait for a new setup.
This swing trading strategy uses a combination of support and resistance, volume analysis, and EMA confirmation to manage entry and exit, aligning with the chart’s technical indications.
Instrument: Gujarat State Petro Ltd (NSE)
Timeframe: Daily Chart (1D)
Chart Analysis:
The price recently pulled back to a previous resistance level around 408, which is now acting as a support.
There is a visible confluence of multiple EMAs (20/50/100/200), which provides a trend-following environment.
The stock is showing signs of continuation after a corrective phase, with low volume during the correction (marked as "DEAD VOL").
Entry Criteria:
Buy Entry: Enter a long position above 408, as indicated on the chart. The entry is set slightly above the resistance-turned-support level to confirm bullish momentum.
Target:
Target: The primary target is set around 465. This target is calculated based on the recent swing high, showing a potential upside of approximately 10.94% (marked on the chart).
Risk Management:
Limit your risk to 1-2% of your trading capital per trade. Calculate your position size accordingly based on the distance between your entry and stop loss.
Exit Strategy:
Partial Exit: Consider booking partial profits if the price reaches halfway to the target (around 435) and move the stop loss to break even to secure gains.
Full Exit: Close the remaining position once the price reaches the target of 465 or shows signs of reversal near that level.
Volume Confirmation:
Watch for increasing volume as the price approaches the entry level of 408. This would indicate buying interest and confirm the breakout attempt.
Additional Notes:
Monitor the EMA levels closely. A bullish crossover or the price staying above these EMAs would further strengthen the trade setup.
If the price fails to sustain above 408 and falls below the stop loss level, consider the trade invalid and wait for a new setup.
This swing trading strategy uses a combination of support and resistance, volume analysis, and EMA confirmation to manage entry and exit, aligning with the chart’s technical indications.
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