Weekly Time Frame - YES Bank has made a double bottom on the weekly time frame
Daily Time Frame - On the daily time frame, YES Bank is trading within a descending wedge. One can see stock consolidating around the level of Rs. 11 which is also the lower side of the descending wedge. If the stock sustains to trade and consolidate above the level of Rs. 11, a breakout of the descending wedge can come in mid or end of October'21 and we can expect YES Bank to test its 52 weeks high of Rs. 20.50.
Events that may trigger the breakout
1. FY 21-22 Quarter 2 results. 2. YES Bank may complete setting up its ARC after finalizing the 12 firms which have shown interest for the same. 3. Government rescuing Vodafone-Idea. YES Bank has around 4,000 Cr. of unsecured exposure in Vodafone-Idea because of which YES Bank's stock was under pressure after the resignation of Kumar Mangalam Birla from the post of non-executive chairman and director of Vodafone Idea (Vi) 4. Multiple rating agencies upgrade for YBL.
Comment
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Today was an excellent session for YES Bank Limited which is also a confirmation of the price action we have witnessed on 14.09.2021. The stock has given a breakout of the descending wedge formation with an excellent amount of volumes. The same was triggered by 2 of the factors discussed in my previous post, the 1st one being a positive outlook by rating agencies and then the government bringing up a relief package for the telecom sector.
Near future Outlook - The stock faced some resistance at the 200 DMA in the Daily time frame @ 14.70. Taking out the 200 DMA will be an important milestone as the stock has not managed to take out the same since 27.03.2019. Bottom of today's candle should be the SL for anyone who has taken swing trade positions.
Also I'm holding Reliance shares at 2140₹ for short term....Currently its trading between 2420-2480₹ Should i book profit or wait more......Can wait for 1-2 months!
NavneetRaj
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@jai57443 Hi Jai.., in my views, you should wait for a little more time. Structure waise Reliance has given a breakout after 1 year of consolidation. It is just taking its time and consolidating above the level of 2400. I believe that it will test 2500 in near future and if successfully gives a breakout above 2500, it will have a target of 2550-75.
jai57443
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Should i average or just hold
NavneetRaj
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@jai57443, Hi buddy, in my opinion, you should hold your positions with a stop loss of Rs. 10. Until & unless you get a confirmation with stock breaking above 200 DMA, no fresh position should be initiated.
Hope it helps..:)
@jai57443, Hi again!! The bank is doing good. There is nothing to worry about as RBI itself is backing YES Bank. The only thing is time. Be patient as your buy price is extremely good and you won't make a loss..:)
jai57443
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@NavneetRaj, Thanks sir....I'll wait for the uptrend...Kbhi to bdega hi 😅. Then I'll exit
AB079710
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bro you are in profit now cmp 12.80+
jai57443
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@AB079710, yes ..I will exit once it will reach 13.5₹