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SaintLazarus
Jan 8, 2021 12:51 PM

Huge Upside expected in TATASTEEL in multiple time frames Long

TATA STEEL LTDNSE

Description

LONG TATASTEEL
1. Possibility of multi year breakout at the 750 level. (Nearest resistance at 730 level)
2. RSI showing divergence with an increase in price simply telling us that the relative strength of bulls is greater than the relative strength of bears and they have been able to capitalise on the same and are so more likely to continue doing that in the near future.
3. MACD showing positive signal since the histogram is in the rising phase and has not yet peaked so it may continue to move towards the peak.
4. NIFTY METAL is strong which has a positive impact on TATASTEEL.
5. Steel sector is booming due to several reasons, the most important of which is that the world steel demand right now is very high due to the fast recovery from the pandemic and the supply is low due to the logistical issues presented by the pandemic. The inventories are drying up and the steel prices are increasing day by day. This presents expectation of increase in profits in the steel sector in the near future and this is being reflected by the steel sector stock prices.
6. TATASTEEL has international presence and can capitalise in other countries with a similar situation. It has been working on the same for a while now.
7. TATASTEEL has recently taken and decided to take initiative towards the environment. Creating a positive sentiment.
8. STEEL STOCKS all over the world are rising.
9. Once the initial levels are crossed, the 900 level and then ever higher levels will open up.
10. There has been a constant increase in the volume in multiple time frames implying an increasing interest.

I will put TATASTEEL analysis on other time frames as well but for now I think that TATASTEEL is bullish in all time frames and a great move can be expected in the next 2-3 sessions itself provided the 710 level is respected.

I have tried to explain everything as simply yet effectively as possible. Kindly ask for clarifications and put up suggestions.

TRADE ACTIVATED: Bought TATASTEEL January 800 CE @7, current market price: 5.1.

Note: Post only for education purposes.
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Trade active

Comments
VijaySReddy
Nice.
I also took Jan 800 CE but at 5.8
what are your thoughts on target and exit.
SaintLazarus
@VijaySReddy I'll be studying the price action on multiple time frames to decide the exit. Kindly follow this post. I'd keep putting updates. Regards.
VijaySReddy
@SaintLazarus Will do. Thanks
SaintLazarus
Keep holding @VijaySReddy
VijaySReddy
@SaintLazarus thank sir for your advice. I will keep holding it and will monitor.
ReviveTraders
good one.. very informative 💡
SaintLazarus
@tradethetip Thanks!:)
ReviveTraders
blissfulOwl5007
600pe holding from 690 lvl....still holding for monday 25th to fall to 620 580 lvl,,,,,,,,,,,,,,,,,,ur advice/ comment plz?
SaintLazarus
@blissfulOwl5007 Exit on Monday in my opinion. It's forming a bullish harmonic pattern on the day chart.
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