Economics of ONGC(Demand and Supply)

Oct 14, 2020

A trait of a demand/supply zone is when the candle, which is breaking out of the zone, has a range that is significantly greater than any previous candle's range. Also, a range is usually formed inside a demand/supply zone, after which the price breaks out/down and continues to move with momentum in one direction. These can be great confirmations to find and make certain levels as demand or supply regions. Another trait is the formation of wicks near the supply zone and of tails near the demand zone., which is a sign that strong players pushed the price opposite to its original move. Observe the size of candles on 21 September and 25 September. Notice their range is greater than any candle visible on the current chart. This clearly shows that strong sellers are present at the supply zone(73-75 levels) and strong buyers are also present at around 65-67 levels, who push the price down and up, respectively. This has also caused the price to stay in a range for a long time and where the price breakouts out will decide whether this bigger range from 65-75 was a distribution zone or an accumulation zone.

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Oct 19, 2020

Note

Move is happening as anticipated. 4% up already today. Hope you enjoyed!