ITC is traded in Channel for long

ITC is being traded in a channel since last one and half year. Recently, It has touched lower line of cannel.

Bullish View :

• Currently it touched lower line of the channel
  
• Currently it is traded in support zone
  
• It is taking support of 200 SMA on daily chart
  

]Point of worry :

• 200 SMA on weekly chart is resisting upward movement
  
• Touched support line with increasing volume
  
• It has possibility to breakdown. If it breaks its support, it may fall till 200
  

Trading Suggestions:
Long:

• Entry : Wait for reversal pattern and take entry above confirmation candle on daily chart
  
• Stop Loss: Below nearest swing low
  
• Target : T1- 238, T2- 245, T3- 262
  

Note: Wait for reversal pattern. If it confirms, then and only then take trade.

Disclaimer: I am also a learner. It is my view. Please analyze it yourself before you initiate the trade.

Order cancelled:

This trade become invalid. ITC has broken 200 SMA on Daily chart and Support line with Gap down.

If it becomes false breakdown, then we can enter in to the trade once we get confirmation of false breakdown.

Wait and watch.