Infratel - Swing trading - Price correction between 215 to 195
Story from analysis (Eliott Waves) on Bharti Infratel -
a. Stock is in strong advancing stage so look for buying at dips
b. Wave 1, wave 2 and wave 3 are over. We are at wave 4 now which will the correction to wave 3.
c. Wave 4 should correct the price gains that happened from wave 3 between 215- 195 level.
Why 215 and 195?
195 - Because Eliott wave correction suggests that correction of a minimum 38.2% should happen to the previous motive wave 3 by wave no 4.
215 - because given the strong bullish trend and positive sentiment around the stock we can except buying pressure near the 50 period EMA level which is 215 ish giving support to the price.
d. Post correction by wave 4 another final motive wave will push the prices high first near the resistance zone of 262. A correction will happen here and finally another jump till 318 will take place - 318 is another Fibonacci level and old resistance zone
How will I trade it?
a. I will stay bullish overall in the coming days till it is respecting 50 period EMA on 1 hr timeframe and later days 200 period SMA on 1hr TF
b. I will buy in two phases - the first lot at 215 when the prices will take support near 50 EMA just because I don't want to miss the uptrend in case the stock moves up from here.
The second lot I will buy near 195 which is another important Fibonacci level and also a support level
c. I will wait till the prices jump up from here.
d. I will exit the position if the stock goes below 180 price level.
Please like and comment if you like the idea and want me to keep publishing more such ideas.
a. Stock is in strong advancing stage so look for buying at dips
b. Wave 1, wave 2 and wave 3 are over. We are at wave 4 now which will the correction to wave 3.
c. Wave 4 should correct the price gains that happened from wave 3 between 215- 195 level.
Why 215 and 195?
195 - Because Eliott wave correction suggests that correction of a minimum 38.2% should happen to the previous motive wave 3 by wave no 4.
215 - because given the strong bullish trend and positive sentiment around the stock we can except buying pressure near the 50 period EMA level which is 215 ish giving support to the price.
d. Post correction by wave 4 another final motive wave will push the prices high first near the resistance zone of 262. A correction will happen here and finally another jump till 318 will take place - 318 is another Fibonacci level and old resistance zone
How will I trade it?
a. I will stay bullish overall in the coming days till it is respecting 50 period EMA on 1 hr timeframe and later days 200 period SMA on 1hr TF
b. I will buy in two phases - the first lot at 215 when the prices will take support near 50 EMA just because I don't want to miss the uptrend in case the stock moves up from here.
The second lot I will buy near 195 which is another important Fibonacci level and also a support level
c. I will wait till the prices jump up from here.
d. I will exit the position if the stock goes below 180 price level.
Please like and comment if you like the idea and want me to keep publishing more such ideas.
Trade closed: target reached:
reached the low of 215 and bounced up from there. Can trade in a range before final breakout towards upside