Order Block Reversal Setup on Paramount Communications Ltd
Technical Observations:
Order Block Zone:
The stock is trading near a significant order block support zone (highlighted in purple), which aligns with past accumulation and breakout levels.
This zone has acted as a strong demand area, indicating that buyers may step in again.
Trendline Base:
The green trendline, respected for an extended period, provides additional support, strengthening the likelihood of a reversal.
Buyers' Liquidity Zone:
The orange trendline within the consolidation phase suggests that buyers' liquidity is accumulating, supporting a potential move higher.
Decline in Volume:
A notable decline in volume during the recent downtrend signals reduced selling pressure, which often precedes a reversal.
Resistance Levels:
A resistance zone around ₹90–₹100 (red zone) and an ultimate target of ₹116 (highlighted in purple) offer clear profit-taking levels.
Trade Setup:
Entry: Consider buying in the range of ₹64–₹66, close to the order block zone.
Stop Loss: Place a stop loss below ₹61.08, ensuring protection in case of invalidation.
Targets:
1st Target: ₹85–₹90.
2nd Target: ₹116 (key resistance level).
Order Block Zone:
The stock is trading near a significant order block support zone (highlighted in purple), which aligns with past accumulation and breakout levels.
This zone has acted as a strong demand area, indicating that buyers may step in again.
Trendline Base:
The green trendline, respected for an extended period, provides additional support, strengthening the likelihood of a reversal.
Buyers' Liquidity Zone:
The orange trendline within the consolidation phase suggests that buyers' liquidity is accumulating, supporting a potential move higher.
Decline in Volume:
A notable decline in volume during the recent downtrend signals reduced selling pressure, which often precedes a reversal.
Resistance Levels:
A resistance zone around ₹90–₹100 (red zone) and an ultimate target of ₹116 (highlighted in purple) offer clear profit-taking levels.
Trade Setup:
Entry: Consider buying in the range of ₹64–₹66, close to the order block zone.
Stop Loss: Place a stop loss below ₹61.08, ensuring protection in case of invalidation.
Targets:
1st Target: ₹85–₹90.
2nd Target: ₹116 (key resistance level).
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