Buy LT Feb Fut at 1300 with SL at 1270 for target of 1345-50
Reasons for Buy
1. LT formed inverted Hammer Pattern today on daily charts
2. Support is seen around 1270-1275 Levels which was tested twice before but not broken.
3. Nifty made hammer pattern on daily patterns and is trading near resistance levels.
4. RRR is above 1.5
5. Volumes are very strong.
Risks:
1. Stock is already in down trend
2. 200 EMA at 1327 which may act as resistance.
Trade is at Confidence level of 70%
Hedge the position by buying 1260 PE. The hedge will be used to cover gap down openings due to overnight news if any.
1. LT formed inverted Hammer Pattern today on daily charts
2. Support is seen around 1270-1275 Levels which was tested twice before but not broken.
3. Nifty made hammer pattern on daily patterns and is trading near resistance levels.
4. RRR is above 1.5
5. Volumes are very strong.
Risks:
1. Stock is already in down trend
2. 200 EMA at 1327 which may act as resistance.
Trade is at Confidence level of 70%
Hedge the position by buying 1260 PE. The hedge will be used to cover gap down openings due to overnight news if any.
Trade closed: stop reached:
SL Hit at 1270.
Loss of 30*375= 11250 -
Profit of 11 points in 1260PE = 11*375 = 4125 /-
Net loss = 7125/-
Loss of 30*375= 11250 -
Profit of 11 points in 1260PE = 11*375 = 4125 /-
Net loss = 7125/-
Trade active:
The stop did not hit on 29/01/2019. Low of the day for Feb fut on 29.01.2019 is 1272.2. Trade is still open.