Completion of Triangular Pattern & Strong RSI Divergence
Updated
In my previous post, I have shown that NSE: Reliance Industries forms triangular patterns on daily chart.
Today Reliance opened gap up & completed its another triangular pattern. (Black dotted lines)
This Gap will be filled as Reliance never leaves a gap unfilled.
RSI gave a bullish divergence in mid-march 2020 which lifted Reliance by more than 55 %.
Currently, there are two possibilities:
1.) Reliance moves back to the previous price channel - Parallel channel. (Red Lines)
-> As RSI has given a breakout of 60 zone.
2.) Reliance may move to lower levels (R1 @ 1362) & fill the gap.
-> Low Delivery (23.26 %) [Source: NSE Website]
--> Option Chain
1300 - Support
1400- Resistance
Today Reliance opened gap up & completed its another triangular pattern. (Black dotted lines)
This Gap will be filled as Reliance never leaves a gap unfilled.
RSI gave a bullish divergence in mid-march 2020 which lifted Reliance by more than 55 %.
Currently, there are two possibilities:
1.) Reliance moves back to the previous price channel - Parallel channel. (Red Lines)
-> As RSI has given a breakout of 60 zone.
2.) Reliance may move to lower levels (R1 @ 1362) & fill the gap.
-> Low Delivery (23.26 %) [Source: NSE Website]
--> Option Chain
1300 - Support
1400- Resistance
Note
Today Reliance failed to enter in parallel channel & there was resistance near R2. (Blackline). Delivery 16.15 %
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