HDFC Heading toward Fibonacci levelHDFC has made a successful breakout-retest-continuation pattern out of its consolidation zone on the daily time frame. The is heading toward the next resistance zone of 3140 which is a dual Fibonacci level.
It is the 1.618 Fibonacci level of the pre-Covid high-low on the 1D time frame. It is also the 4.236 Fibonacci level on the long-term Weekly chart. We are bullish on HDFC with 3140 as target.
Continuation
17600 likely for NIFTY.Nifty has formed a bearish sort of a structure on the daily chart, making a low of 17613 on 29-10-21. Since then it has pulled back to the 20EMA and has formed a bearish continuation bar to the downside today. A short position could be considered keeping the following levels in mind:
SHORT BELOW: 17958
STOP LOSS: 18132
TARGET 1: 17784
TARGET 2: 17610
Please do wait for at least a 15 min candle close below the "SHORT BELOW" level before initiating the trade.
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Manage risk properly and trade your plan.
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4000 coming for TCS?TCS, the leader of the IT pack, is in a nice uptrend. If we see a continuation of the bar formed today, we should be approaching 4000 odd levels in no time. One could initiate a trade keeping the following levels in mind.
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LONG ABOVE: 3853
STOP LOSS: 3767
TARGET 1: 3939
TARGET 2: 4025
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Only initiate the trade if price sustains above the "LONG ABOVE" level for at least 15 minutes.
Manage risk properly and trade your plan.
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INDIGO Breakout Pullback ContinuationINDIGO broke out of its 1900 ATH zone last week. The price then pulled back to 1900 and has exhibited continuation pattern today. Fresh longs may be initiated for the continuation trade in the direction of the breakout.
Will STOVEKRAFT make a new high? STOVEKRAFT has been in a nice uptrend and it had made a high of 1017 on 30.08.21. Since then it has pulled back to the 20 EMA and has formed a continuation bar today. It seems that it is poised to continue its upward trend and possibly make new highs. A long trade can be initiated keeping the following levels in mind. Only initiate the trade if price sustains above the "LONG ABOVE" level for 15 minutes.
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LONG ABOVE : 977.15
STOP LOSS : 915
TARGET 1 : 1039.30
TARGET 2 : 1101.45
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Manage risk properly and trade the plan. :)
Will ASIANPAINT breakout of the range?After making a high of 3179 on 20.07.21, ASIANPAINT has been consolidating in a range. It recently seems to trying to push upwards towards the resistance and has formed a nice bar which indicates a possible coming breakout. A long can be initiated keeping in mind the following levels :
LONG ABOVE : 3115
STOP LOSS : 3048
TARGET 1 : 3182
TARGET 2 : 3249
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Do wait for a 15 min candle to close above the "LONG ABOVE" level with good volumes for a better entry.
Do manage your risk and trade your plan.
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ACC Continuation Trade.Most cement sector stocks seem to be resuming their upward trend after the recent pullback. Amongst them, ACC looks nice to be traded for a swing trade. After running from the 5th July pivot low of 1975 to the swing high of 2454 on 04th August, it seems to have pulled back completing its 38% retracement at around 2275. It also has pulled back to the 20 EMA and has consolidated there. After this it has given signs of continuation by making a bullish bar with above average volumes as is evident in the chart.
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A long position can be considered keeping the following levels in mind:
LONG ABOVE: 2364
STOP LOSS: 2311
TARGET 1: 2417
TARGET 2: 2470
For a better and surer entry, wait for a 15 min candle to close above the "LONG ABOVE" level with above average volumes.
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Manage your risk properly and trade your plan.
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CIPLA: Head and Shoulders breakdown. CIPLA had formed what seems like a head and shoulders pattern, from which it broke down from on 27-07-21. After breaking down from the pattern and range it fell from around 945 level to the 875 level. Since then it has pulled back quite neatly to the bottom of the range and has then created a huge continuation bar to the downside with above average bearish volumes.
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One could take a short positional trade keeping in mind the following levels, do only initiate the trade if the price stays below the "SHORT BELOW" level for at least 15 minutes.
SHORT BELOW: 909
STOP LOSS: 939
TARGET 1: 879
TARGET 2: 849
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Plan your trade and manage risk properly.
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HAPPIEST MINDS going back up to 1500?HAPPSTMNDS is steadily moving upward, continuously making higher lows. It seems to be resuming its upward trend after the current pullback and 38% retracement. A long trade can be initiated on the daily timeframe. Only initiate the trade if price stays above the "LONG ABOVE" level for at least 15 minutes.
LONG ABOVE: 1430
STOP LOSS: 1385
TARGET 1: 1475
TARGET 2: 1520
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Plan your trade and manage risk properly.
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NIFTY making a good patternAfter good rally upside nifty consolidated for two days now and making a pole and flag pattern which is same as of BANK NIFTY both were in a good move and the good rally continue after this structure is broken. Please comment down below what do you think about the next move of these index.
How to trade in and out of a sideways range?Horizontal price movement is seen when the powers of demand and supply are roughly equal, thus forming a "sideways trend". This usually occurs during a period of consolidation before the price continues a prior trend or reverses into a new trend. A sideways trend is also sometimes referred to as a "horizontal trend".
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An important indicator is volume, which usually remains flat during a sideways trend as the bulls and the bears balance out each other. A surge in volume is seen when the breakout or breakdown is expected to occur.
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Ways to profit from a sideways trend :
1. Typically traders will try to capitalize on breakouts or breakdowns, to try and ride the momentum in the direction of the break, thus generating profits. But breakouts are prone to failures, so a more prudent approach can be to wait for a re test of the level price broke out from and then initiate the trade.
2. If the price regularly rebounds from the support and resistance levels as can be seen in the chart, traders may try to buy the security when it nears the support levels and sell it when the price nears resistance levels.
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Now, as we can see that the price of IGL was bouncing around in the sideways channel. It failed to move past 545 on 09.04.21 and 11.06.21. Similarly it bounced back from 500, at 5 occasions, on 25.03, 06.04, 19.04, 30.04 and 21.05.21. It finally broke out above 545 with above average volume on 29.06.21 and soon made a high of 584.
It travelled almost the width of the range after breaking out as is expected. And then it started pulling back and has touched the top of the range. A continuation candle with strong volume has occurred now.
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A long can be initiated with the following levels in mind if the price sustains above the "LONG ABOVE" level for 15 minutes.
LONG ABOVE: 548.70
STOP LOSS: 534.80
TARGET 1: 562.60
TARGET 2: 576.50
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Trade your plan and manage your risk effectively.
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IBULHSGFIN setting up for a long.There are some observations that can be made on the chart of IBULHSGFIN. The stock had made a run from the low of 19.04.21 and made a peak of 313.70 on 16.06.21. Since then it has pulled back to the 20 EMA, consolidated and is trying to continue its upward move. Price is above both the major averages i.e. the 50 and the 200 EMA.
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It also seems that on the 30 minute chart, the downtrend is halted and is reversing. The formation looks quite similar to an inverse head and shoulder pattern that is breaking to the upside with good volume.
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The price has also corrected very close to the 38% Fibonacci level on the daily which is around the 253 area. So that can also be kept under consideration.
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Keeping all the above things in mind a long can be initiated at the following levels. Only initiate the trade if price stays above the "LONG ABOVE" level for 15 minutes.
LONG ABOVE: 285
STOP LOSS : 272
TARGET 1: 298
TARGET 2: 311
Trade your plan and follow risk management.
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BULLISH FLAG PATTERN EXPLAINED.Bullish flags are a continuation pattern found in stocks with a strong uptrend. As can be observed, the pattern resembles a flag
on a pole. The vertical rise forms the pole and the following period of consolidation forms the flag. The flag can be a horizontal rectangle
but mostly angles down from the pole. The focus should be more on the underlying psychology of the pattern than the shape. Despite the
strong vertical rally, the stock refuses to drop much because the bulls are buying as many shares they can get their hands on.
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Main characteristics of a flag pattern:
1. The trend before the appearance of the pattern.
2. The channel of consolidation.
3. The volume behavior.
4. The breakout.
5. The confirmation of price movement in the direction of the breakout.
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Target and Volume:
The target for a bull flag is calculated by measuring the length of the flag pole and projecting it from the breakout point. The volume
starts to pick up towards the end of the consolidation range indicating the oncoming breakout. Then there is a huge increase in volume
when the pole is being formed and the volume tapers off during the consolidation period.
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Stop Loss Options:
1. Longer term traders may place their stop loss below the entire flag.
2. A stricter option would be just below the consolidation are before the breakout.
3. The tightest option would be a two bar low trailing stop.
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Thoughts:
No one can know for sure which way the price will move, whether it will continue or reverse. One can follow the action of price,
trade only the best setups and let the probabilities work out. While patterns may give false signals, bullish flags are generally reliable
and effective.
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Alert:
Keep an eye out for price action unravelling currently. Price is pulling back to the 20 EMA, forming a consolidation, a flag of sorts.
A continuation candle near the average with decent volumes could be the sign of a fresh move upwards.
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Will be very grateful for a like and follow. :)
LT LONG : All targets done.Please check my idea posted previously on 23-06-21. The trade has turned out beautifully and all targets have been reached and LT has closed at an all time high of 1618.
LT has been in a nice uptrend, continuously making higher highs and higher lows. After the recent pullback to the 20 EMA , a nice continuation candle has formed. A long can be initiated keeping in mind the following levels, only if it sustains above long level for 15 minutes.
LONG ABOVE : 1505
STOP LOSS : 1469
TARGET 1 : 1541
TARGET 2 : 1577
BAJAJFINSV BREAKOUT LONG.BAJAJFINSV is steadily moving upward, continuously making higher lows. It seems to be resuming its upward trend after the current pullback.
A long trade can be initiated on the daily timeframe . Enter only when price sustains above the entry level for 15 minutes.
LONG ABOVE : 12200
SL : 11776
TGT 1 : 12624
TGT 2 : 13000
Another option could be to wait for a pullback on a smaller timeframe after the initial breakout and then enter on continuation.
ESCORTS BO-Retest-ContinuationESCORTS has seen multiple Support/Resistance cycles at 1180 zone where we saw this zone turning from support to resistance and to support once again. The stock broke out of this zone last week and has done a successful retest followed by a continuation of the price action. RSI is also in the bullish territory which is a good sign. We are bullish on the stock for 1320/1450 Fibonacci zones as targets.
CNX METAL LONG.CNXMETAL has been in an uptrend, continuously forming higher lows. After the recent complex pullback, it seems rested and ready to move forward and challenge its highs and possibly make new ones. Certain stocks in this sector can be traded for a short term trade and I will post my analysis of them shortly.
SAIL LONG.SAIL has been in an uptrend, continuously forming higher lows. After the recent complex pullback, it seems rested and ready to move forward and challenge its highs and possibly make new ones. It was unable to close above 128 for a number of sessions and has finally broken out past that level on a closing basis. Keep an eye out for levels of 150 and beyond.
TATA STEEL LONG.TATA STEEL has been in an uptrend, continuously forming higher lows. After the recent complex pullback, it seems rested and ready to move forward and challenge its highs and possibly make new ones. It was unable to close above 1150 for a number of sessions and has finally broken out past that level on a closing basis. Keep an eye out for levels of 1245 and beyond.
ONGC | CUP & HANDLE BETToday a good volume candle has broken out of the handle. For safe entry, above 121.15 would be preferable.
Thank you.
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LTTS Swing Trade SetupBuy Positional ~ 2620, Stop ~ 2510, Target ~ 3000
If You Trade Trade Future, Buy June Future ~ CMP ~ 2639 Stop ~ 2520, Target ~ 3030
Trade Time Frame ~ 2 Trading Season
Canara bank trendline breakdownThis is an hourly time frame of CANARA BANK showing the clear breakdown of the trendline and today it also retested and started the continuation towards the downside. So it can be a good fall for upcoming days in Canara Bank. Please like the post if you agree with my idea.
Inverted Mountain HillAs we see HCL Technologies make inverted Mountain Hill in Daily Time Frame, so there are chances for Continuation of Uptrend by the Stock. For Confirmation of the pattern we use Directional Movement Index (DMI) which tells us about the Movement of the market and also Exponential Moving Average (EMA) of 10 is above EMA of 20. In DMI it is showing that bulls are stronger than Bears, because +DI (Bulls) i.e., Blue Line is above 20 and -DI (Bears) i.e., Orange Line is below 20 which means Bulls are in Power.
Conclusion: With the help of Technical Indicators, Chart Patterns and Trend Analysis we come to know that HCL Technologies might give Good Return in Future.
NSE:HCLTECH
