ICIBANK: Swing: 1D 16-Oct'24

Oct 16, 2024

ICIBANK: Swing: 1D 16-Oct'24

• ICICI Bank is trading in a channel (marked) for the last several months and is in a uptrend. ADX is 21 (>20).
  
• The ADX slope is -ve but seems like the slop is reducing and will turn positive in the coming days. [NEGATIVE]
  
• The stock hit the bottom of the channel on 11-Oct24 with a red candle and then on 14-Oct'24 bounced back with green candle. Ideally the close of the 14-Oct'24 candle should have been our buy price but on 14-Oct'24 the stock was trading below 9 SMA
  
• On 15-Oct'24 too the stock continued its trend towards the upper end of the channel and closed above 9 SMA. Will initiate trade on y'days close
  

Entry / Target / Exit

• ATR = 24.25 (15-Oct'24)
  
• Entering long @ 15-Oct'24 close 1255.5
  
• Stop loss = 1 ATR below channel (needs to be monitored as the trade progresses)
  
• Target = Close to the top of the channel (needs to be monitored as the trade progresses)
  
• Exit criteria = Hits StopLoss || Reaches Target || Price goes below 9 EMA
  
• Risk:Reward = Unknown since the target and stop loss are yet to be defined. However, it looks like the it would be a 1:1.67 kind of a trade.
  

Oct 17, 2024

Trade active

Bought @ 1248.50 on 16-Oct'24