HAL - Not a place to go long
Updated
CMP: 4660
It broke the swing high at 4680 and opened gates for 4900-5000 levels.
But, the current price looks overstretched and the price is rejecting strongly from the supply zone.
On EW counts, 3 appears to be complete and 4th in play. The ideal targets for the 4th marked in the chart (30-50% retracement from wave 2 lows at 4440-4340).
A break below 4640 could be a confirmation signal.
Since this is 4th wave, the correction can take any form. So entry at the right level is key.
It broke the swing high at 4680 and opened gates for 4900-5000 levels.
But, the current price looks overstretched and the price is rejecting strongly from the supply zone.
On EW counts, 3 appears to be complete and 4th in play. The ideal targets for the 4th marked in the chart (30-50% retracement from wave 2 lows at 4440-4340).
A break below 4640 could be a confirmation signal.
Since this is 4th wave, the correction can take any form. So entry at the right level is key.
Trade closed: target reached
4660 to 4150.. 500 points down one way.. Although the price came down as expected, it broke the important level and invalidated the upmove. Now, after a brief pullback towards 4400 odd levels, price is expected to go down further. 
I am not a SEBI Registered Analyst. Views are personal and for Education purpose only. Please consult your Financial Analyst before making investment decision
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.