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Candlestick Analysis

ETC: Look for Confirmation Near Previous Resistance💎 ETC is currently exhibiting a bullish market structure and is undergoing a retest of the support zone, which was previously a resistance level. This zone may now act as support since it has been broken. 💎Analyzing past chart data reveals that there is potential for a bounce from the bullish interest zone, especially if ETCUSDT forms bullish engulfing candlesticks. Confirmation of this bounce would require seeing bullish engulfing patterns from our support zone and smaller support levels. In such a scenario, we can anticipate targets until the next resistant levels. 💎However, if ETC breaks down below our support levels without showing any bullish confirmation, it would be advisable to refrain from trading ETC in that scenario and wait for better price action to form before making any decisions.
by MyCryptoParadise_Nathan
Getting Started with Technical AnalysisInvesting in the stock market can be both exciting and overwhelming. There are so many stocks and strategies are there that make it hard to decide where to invest. That’s where technical analysis comes in. It’s the study of market data to find patterns, trends, and potential opportunities. To get started with technical analysis, you need to first understand what exactly technical analysis is. Technical Analysis: Technical analysis may sound complex, but it’s actually quite easy. In simple terms, it’s a method of assessing stock or any tradeable asset by studying statistics based on market activity, like past prices and volume. Technical analysts believe that by analysing charts and other indicators, they can identify and predict market trends for any security. Essentially, they study a stock’s trading history to measure its potential for future price changes. Let’s understand this with an example: Let’s make a comparison to weather forecasting. Can we predict the weather for the future? Yes. Is the weather forecast always 100% accurate? No. Weather forecasts are applicable over a period of time rather than being precise second by second. Similarly, just like meteorologists use past weather data and atmospheric patterns to forecast future weather conditions, technical analysts utilize past price and volume data to predict future stock prices. How You Can Start Technical Analysis of Stocks? To begin with technical analysis, the first step is selecting a security for analysis. This can include stocks, commodities, currency pairs, or any other tradable financial instrument available on an exchange. Once you have decided on the security, the next step involves studying its price and volume data. A widely used tool in technical analysis is the price chart. It provides a visual display of a security’s price changes over time. Price charts come in various types, with the candlestick chart being the most popular and commonly used option. Candlestick charts offer wide information in a single platform. Each candlestick represents a specific time period, like a day or an hour. The body of the candlestick indicates the security’s opening and closing prices within that timeframe, while the wicks or shadows represent the highest and lowest prices recorded during that period. By studying these candlesticks, traders can identify patterns and trends in the price movements of the stock. Along with price charts, traders use various technical indicators to analyse securities. These indicators are mathematical calculations derived from the price and volume data of a security. They give signals that confirm trends, identify potential buy or sell signals , and provide additional information to traders. Some popular and commonly used technical indicators are moving averages , relative strength index (RSI) , and Bollinger Bands , among others. These indicators help traders to judge market conditions, identify potential price reversals or trends, and help to take trading decisions. Dos and Don’ts to follow when starting Technical Analysis: Do’s: A Volume is an important tool for technical analysis. High trading volume suggests a strong trend, while low volume can indicate a lack of buyers and sellers in security. Traders mostly confirm trends and signals by using multiple indicators. With one or more than one indicators, a trader can become more confident in a potential trade. This approach allows for a thorough analysis of different aspects of the market, increasing the chances of making informed trading decisions. One of the most important tips to remember is that while technical analysis can assist in identifying potential trades, practising effective risk management is essential. Risk Management involves implementing stop-loss orders and ensuring that you don’t risk more than a certain percentage of your portfolio on any single trade. With the help of these risk management techniques, you can protect your investments and maintain a disciplined approach to trading. As the price of stocks is changing every time, you need to stay updated with news and investments that can impact your investment. Don’ts: While technical analysis can look complex, it’s important to avoid difficult things. Stick to the fundamental principles and strategies, and you should be on the right track. Sometimes, simplicity is the key to effective analysis and decision-making in the stock market. While technical analysis is important, it shouldn’t be the only way to evaluate securities. It’s also important to consider fundamental analysis , which involves looking at a company’s financial statements and economic factors. By using both technical and fundamental analysis, investors can get a better overall understanding of the securities they are analysing. Trading can involve emotional decisions, but it’s important to let no emotions cloud your judgment. Stick to your trading strategy and avoid making impulsive trades driven by fear or greed. By maintaining discipline and adhering to your predetermined plan, you can make more rational and informed trading decisions. When you’re taking potential trades, it’s important to think about the risk-reward ratio . This means comparing the potential profit with the potential loss. With a good risk-to-reward ratio, you can make smarter decisions and aim for a good balance between R:R in your trading strategy. Conclusion: Technical analysis is a great tool for traders and aspiring investors in the Indian stock market. It helps identify potential opportunities by analysing price and volume data, allowing traders to recognize patterns and trends. However, it’s important to follow certain guidelines when using this approach. With the help of candlestick patterns , indicators, risk management tools, and fundamental analysis traders can achieve their financial goals.
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NSE:RELIANCEEducation
by khushaljain023
2
Banknifty weekly analysis for 11/03/24.After 3 days holiday markets will open tomorrow. Banknifty has been halting around the higher levels and constantly facing rejection around 48k levels. On the weekly charts, there is a bullish move in the market and seems to continue as nifty is around the highs but banknifty is still lagging behind it. An inside candle has been formed on the daily charts and near the high. If there is a break out new highs can be tested this week for banknifty. Else it may come to test the lower levels. Major support levels :- 47520, 47260 Resistance :- 48150, 48260, 48400 Buying there on every dip and resistances above are weak. Bullish move is expected as the charts indicate. If there is a gap down opening, it would be wise to avoid trading for intraday as there will confusion in the markets. Wait for the price action near the levels before entering the market.
NSE:BANKNIFTY
by Mambotrade
Nifty intraday levels for weekly expiry 14/03/24. Nifty has given a break down of the parallel channel and has closed below the 22k levels after a gap up opening. Even 20 ema, on the daily chart, is breached and closing is much below it. Today, not the index even the stock has given bearish move. There were chance of a retest but from the morning nifty was in a bearish mood. It can given another red candle as there is a bearish divergence in RSI and volume are high. Either it will retest the break down channel or consolidate after a gap up or flat opening. Major support levels :- 21920, 21770, 21580 If there is a gap down opening, there can be another selling leg from the morning. Resistance levels :- 22110, 22250 Tomorrow is weekly expiry for nifty and can be another trending day for it. Wait for the price action near the levels before entering the market.
NSE:NIFTY
by Mambotrade
An important SUPPORT for NIFTY is coming up.As we can see NIFTY fell unidirectionally exactly as analysed in our previous post and we also mentioned about the supposed panic that could occur with the break of lower trendline and we did see that. now nifty can be seen heading towards very important support or demand zone of 21800 which given NIFTY more room to move hence if NIFTY weakens and reaches 21800 and shows any signs of rejection then strong reversal can be expect to plan your trades accordingly.
NSE:NIFTY
by Wealthcam
Long Trade in ITCITC is currently trading at support zone of 400-410 levels & It is consolidating here since 5-7 days. I am seeing a trading opportunity here. I am taking long position in ITC march futures at CMP 407. I will add more position if 402-404 comes. My stoploss would be 397. Target would be 425. Disclaimer - Do not consider this as a buy/sell recommendation. I'm sharing my analysis & my trading position. You can track it for educational purpose. Thanks!
NSE:ITCLong
by akshit_official
17
Nifty analysis for 12/03/24.Nifty has given a nice break out of the parallel channel and now is retesting it. On the hourly charts, the market seem to consolidate around the support levels. If there is a gap up opening, a bullish trade can be captured in the index once it crosses 22420 levels with the targets of ATH. Major support levels :- 22240, 22170 The market is in a bullish mode and every dip is being bought. Any bullish pattern around the support level can be bought in this scenario. Even the seller are waiting for the market to short, but the sell off today doesn't seem to effect the bullish mode as it was slow and took time to test the lower levels. RSI is showing some bearish divergence as the strenght also need to reset and come up for another bullish move. Major resistance levels :-22420, 22510 Wait for the price action near the levels before entering the market.
NSE:NIFTY
by Mambotrade
FinNifty intraday levels for weekly expiry 12/03/24.FinNifty has closed 140 points lower after a consolidation on the higher levels. Tomorrow is weekly expiry of the index and there are chance of markets holding the higher levels. It has taken a good support from the support zone around 20830 and closed near the zone. Major support levels :- 20800, 20720 Market on the higher time frame is in a bullish trend and there are chance of market reverting after retesting the lower levels If there is a gap down opening in the market below 20800, there is chance of test the lower support zone and recovering in the second half. In case of a flat to gap up opening, price action will be crucial and confluence with the other indices should be taken for confirmation. Resistanc levels :- 20940, 21030 Wait for the price action near the levels before entering the market.
NSE:CNXFINANCE
by Mambotrade
LINDEINDIA - Bullish Swing Reversal with VolumesNSE: LINDEINDIA is closing with a bullish swing reversal candle supported with volumes. Today's volumes and candlestick formation indicates strong demand and stock should move to previous swing highs in the coming days. The stock has been moving along the horizontal support for the past few days which is indicating demand. One can look for a 10% to 14% gain on deployed capital in this swing trade. The view is to be discarded in the event of the stock breaking previous swing low. #NSEindia #Trading #StockMarketindia #Tradingview #SwingTrade
NSE:LINDEINDIALong
by BrahmaBull31
🚀 MDT on the Rise! Cup and Handle Formation Detected 💎 MDT has recently formed a cup and handle pattern along with CHoCH and BOS, indicating a shift towards a bullish market structure and increasing the likelihood of a bullish move. 💎If the price of MDTUSDT breaks above the resistance level, it could signal a continuation of the upward trend, with potential targets extending to the next resistant levels. In the event of a pullback, it's advisable to wait for the price to exhibit a bullish candlestick pattern at either the bullish OB or the demand area before considering a bounce. 💎However, if both the bullish OB and the demand area are broken down, it would be prudent to wait for better price action to form. Given the overall bullish sentiment in the market, going against the trend could be risky, so it's essential to observe the market conditions carefully before making any decisions.
by MyCryptoParadise_Nathan