SBILIFE- False Breakout gives a SHORT!

Apr 22, 2023

Attached: SBILIFE Daily Chart as of 21st April 2023

For the Levels, it is already marked in the Chart (SELF EXPLANATORY)
Stop Loss > 1136

Downside Target 1= 1074
Downside Target 2= 1054

For the Thesis as to why it is a SHORT:

- the 17th April Candle was a Breakout Candle that turned out to be a BULL TRAP Candle, so all the Bulls that entered got Liquidated as the Low of the Candle was taken out
- with the 21st April Candle (latest candle) Bears entered the stock giving a Breakdown below POC of the Volume Profile
- All Insurance Stocks saw Selling on Friday, even HDFCLIFE is similar and Bears have taken over in that Stock as well. So a Weak Sector too

Note: Both SBILIFE and HDFCLIFE have Earnings on 26th April (the coming Wednesday)

Apr 24, 2023

Trade closed manually

given the Short Squeeze in HDFCLIFE, this Trade in SBI Life is no longer high probability, hence closing it