It opened with a gap down and made a spike low (see A). Later it broke that low and formed two more spikes with larger volumes, clear indication of some buying power. Buyer had a nice rally to retest day's high but soon seller came back (see B). After that, the stock struggled nearly 2 hours to breach the day's high. At this point I was expecting the break of high where price action gets into the gap zone and make some signal (a fake breakout), that would have been my trigger for short entry. Unfortunately that didn't happened. But the overall market was breaking down and UPL , a weak stock, was standing still. That was alarming. It made a small last attempt to go higher but failed. Some people would call it triple top, well that's in intraday so not that important. But failures are important.
And then came the trigger which is not visible in this chart but is there in the 5min. chart or lower (will be posted in the update). It was a huge spiking with no real progress on 5min chart (the candle closed green with a very small range). It alerted me that if the price heads lower, that would mean that sellers will surely take control (of course the overall downtrend gave additional fire to the idea). The triggered forced me to take the short trade at 745.80. It was a quick sell-off afterwards, which took it to my conservative target of 739.20. It was a nice 1% down move caught later in the day. I could have made more but time constraint kept me conservative. Its always good to combine intraday trades with your swing trades.
I hope I was able to throw some light upon the chosen topic.
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You can observe that it was highest volume of the day.
also,By Jhunjhunwala i meant a big fish or a big order. I dont follow him either. Hm yes charts indeed, Just that the difference in reading in the volume & candle.If only it was a red colored volume bar. :D
I 'd love to see that 'wall of fame'.