Nifty Reversal Watch: Key Demand Zones & Moving Average in FocusAs a pure technical analyst, I rely solely on what the charts reveal, ignoring the noise of news and fundamentals. Charts tell the story in advance.
As a demand and supply zone trader, my primary focus is on identifying key areas where institutional activity is likely to drive price action. Today, we’ll analyze the Nifty 50 through the lens of demand zones and then complement it with traditional technical analysis using moving averages. This analysis aims to provide clarity on potential reversal zones and market behavior.
📊 Demand Zones: The Foundation of Analysis
Monthly & Quarterly Demand Zones : On the monthly timeframe, I’ve identified a critical demand zone. When we zoom into the quarterly timeframe, this zone aligns perfectly, creating a high-confluence area. These zones represent institutional footprints (Banks, mutual funds, etc. ), indicating where smart money is likely to step in. These are not just traditional lines or boxes on the chart; they are the footprints of institutions that control the market.
Significance of Demand Zones : Demand zones are areas where buyers are expected to dominate, often leading to price reversals. The confluence of monthly and quarterly demand zones increases the probability of a strong support level.
Current Price Action : Nifty is currently hovering near these demand zones, suggesting a potential bottom formation.
📊 Traditional Technical Analysis: Moving Averages
Now, let’s analyze the market through the lens of traditional technical analysts who rely on moving averages.
EMA 20 on Monthly Timeframe : The 20-period EMA on the monthly chart acts as a reliable support level historically. Since 2004, price reversals have consistently occurred near this moving average, marked by green circles on the chart.
EMA 20 as a Magnet : The EMA 20 on the monthly timeframe is equivalent to the 400-period EMA on the daily timeframe, representing the average price of almost 400 days. In trending markets, price always reverts to its average, making this a critical level to watch.
Historical Exceptions : While there are rare instances (marked by red circles) where Nifty has broken below the monthly EMA 20, the presence of demand zones adds an extra layer of support, reducing the likelihood of a significant breakdown.
Current Price Action : Nifty is currently near the monthly EMA 20, which coincides with the monthly and quarterly demand zones.
📊 Combining Both Approaches
High-Confluence Area : The alignment of monthly and quarterly demand zones with the monthly EMA 20 creates a high-confluence area. This increases the likelihood of a strong support level and a potential Bottom.
Risk Management : While the setup appears promising, it’s crucial to manage risk effectively. Always use strict stop-loss orders and avoid over-leveraging. Even high-probability setups can fail, especially when market sentiment is overwhelmingly negative.
📊 Conclusion
The Nifty 50 is at a critical juncture, with multiple technical indicators pointing towards a potential reversal or consolidation. The confluence of demand zones and the monthly EMA 20 provides a high-probability setup. However, always remember that no setup is foolproof, and risk management is crucial, it’s essential to remain cautious as markets can sometimes defy all technical setups.
This analysis is purely for educational purposes and is not intended as trading or investment advice. I am not a SEBI-registered analyst.
Lastly, thank you for your support.
"The market is a master of patience; trade with discipline, not emotion." 🚀📊
Demand Zone
#INDIANHUME - Reversal Pattern (W Bottom Pattern)📊 Script: INDIANHUME
Key highlights: 💡⚡
📈 W Bottom Pattern at Demand Zone
📈 Deman Zone tested
📈 W Bottom Pattern BO in DTF
📈 Volume Spike Seen
📈 MACD can give a Bounce
📈 Price consolidated for 31Days
📈 One can go for Swing Trade
⚠️ Over All Market condition is bad, Practice paper trading
🟢 If you have any questions regarding the setup, please feel free to leave your inquiries in the comments, and I will respond promptly.
BUY ONLY ABOVE NA DCB
⏱️ C.M.P 📑💰- 373
🟢 Target 🎯🏆 – NA%
⚠️ Stoploss ☠️🚫 – Below Swing Low%
⚠️ Important: Always Exit the trade before any Event.
⚠️ Important: Always maintain your Risk & Reward Ratio.
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Disclaimer: I am not SEBI Registered Advisor. My posts are purely for training and educational purposes.
Eat🍜 Sleep😴 TradingView📈 Repeat 🔁
Happy learning with MMT. Cheers!🥂
Cords Cables-Can it continue to be a multibagger?Cords Cables is a small cap company which is available at a perfect position technically.
Zone of 140-150 was a supply zone earlier which now should become a demand zone.
If stock manages to bounce from here with good volumes, it can continue its multibagger journey towards big targets.
However, if this zone is breached, stock can fall rapidly so it sis make or break level for stock technically.
Very risky. Keep in watchlist to study and learn.
Not a recommendation.
Key Levels: Nifty at a Crucial Turning Point! What's Next? Nifty's price structure is showing a clear pattern of lower highs and lower lows, indicating a prevailing downtrend. However, the market is now at an interesting Demand Zone that could determine its next big move.
📊 Key Observations
On January 27, Nifty took support from an old demand zone, and formed new lower high.
This minor reversal also led to the creation of a new demand zone.
Currently, Nifty is approaching this fresh Demand zone & old Demand Zone, making it a highly significant area to watch.
🔍 Possible Scenarios Ahead
Reversal from the Demand Zone : If Nifty respects this demand zones and reverses, we may see a potential bottom forming.
Sideways Consolidation : Nifty may move sideways, indicating indecision before a breakout.
Breakdown Below Demand Zone : If the demand zone is breached, Nifty could make a new lower low, continuing its downward trend.
🔄 What’s Next?
The next few sessions will be crucial in determining whether Nifty finds strength or continues its downward trajectory. Traders should closely monitor price action and key levels to gauge market sentiment.
Lastly, thank you for your support, your likes & comments. Feel free to ask if you have questions.
🌟 “Patience and discipline separate the successful trader from the rest.”
This analysis is for educational purposes only and is not a trading or investment recommendation. I am not a SEBI-registered analyst.
EURJPY - TRADING AT DEMAND ZONESymbol - EURJPY
EURJPY is currently trading within a important support zone. This level has acted as a solid base for price action, offering stability to the currency pair and providing key support for the ongoing trend.
At current market price (CMP 156.50), EURJPY presents a promising opportunity to initiate long positions. The current price level aligns well for potential upward movement, making it a favorable entry point for traders looking to take advantage of the prevailing trend.
However, it is crucial to monitor certain levels for any signs of trend reversal. A breakdown below the 155.25 area could trigger additional selling pressure, and a sustained move below 155.00 would confirm a shift from a bullish to a bearish market structure. In such a case, a retest of the breakdown zone could offer a good opportunity for short positions.
Conversely, if EURJPY continues to recover, we could see a push toward the 158.67 and 160.85 levels, which represent key resistance areas. A successful breakout above these levels would likely signal the continuation of the bullish trend, suggesting further upward momentum.
Key Resistance Levels: 158.70, 159.90, 160.85
Key Support Levels: 156.00, 155.25
SIYSIL: A Strong Demand Zone Setup with High Reward Potential!When it comes to technical analysis, understanding demand zones can give traders an edge in identifying potential reversal points. Demand zones represent the footprints of institutional players who significantly influence the market. These zones indicate unfilled buy orders, and when the price revisits these areas, institutions tend to buy again, leading to a reversal.
Let's dive into SIYSIL's price action and explore its technical structure!
🌟 Weekly Chart Analysis
SIYSIL is currently displaying a highly structured setup. If we analyze the weekly chart , we can clearly see a well-defined Rally-Base-Rally (RBR) Demand Zone . The strength of this demand zone is reinforced by the fact that it broke a previous significant resistance level and formed an all-time high .
📊 Daily Chart Confirmation
Upon shifting to the daily chart , the same demand zone is clearly visible. A strong follow-through from this zone has resulted in a powerful imbalance, further validating the structure.
Moreover, there are currently no nearby supply zones that could act as resistance, making this demand zone even more significant.
💡 Observations
Act of Polarity: The concept of polarity further strengthens this structure— the previous resistance level has now turned into support , aligning perfectly with the demand zone.
Market Conditions: While this setup appears strong, it's essential to consider the current weakness in the overall market . Even well-defined structures can face challenges in uncertain conditions, so risk management is crucial.
📈 Final Thoughts
SIYSIL presents a structured demand zone setup with multiple confirmations on both the weekly and daily charts. The alignment of the demand zone with previous resistance-turned-support adds a strong layer of confluence.
Lastly, thank you for your support. Feel free to ask if you have questions.
🚀 "A successful trader is not the one who never loses but the one who learns to manage losses."
Disclaimer: This analysis is purely for educational purposes and is not intended as a trading or investment recommendation. I am not a SEBI-registered analyst.
INDHOTEL
The Indian Hotels Co. Ltd view for Intraday 27th Jan #INDHOTEL
Resistance 790 Watching above 792 for upside movement..
. Support area 770 Below 780 ignoring upside momentum for intraday
Watching below 768 or downside movement...
Above 780 ignoring downside move for intraday
Charts for Educational purposes only.
Please follow strict stop loss and risk reward if you follow the level.
SBICards-Can it finally make a comeback?SBICards has been underperforming since last few years.
700-730 has proven to be a strong demand zone for the stock historically and looks like history is getting repeated.
950-1000 is a strong supply zone. Once it is broken, we can see this stock fly to new highs.
Currently, stock is a perfect example of buy low, sell high.
HOW-TO: Use Demand and Supply Zones Pro [Afnan] As Screener In this video, I walks you through an exciting update to the Demand and Supply Zones Pro Indicator—integration with TradingView’s Pine Screener. This powerful tool allows traders to scan stocks based on demand and supply zones, helping to streamline your trading process and increase your efficiency.
Key Highlights:
Learn how to set up the Pine Screener for scanning stocks from your watchlist based on demand and supply zones.
A step-by-step guide to creating and using a Nifty 200 Watchlist.
Setting up Demand and Supply Zones Pro with custom timeframe and alert configurations.
How the screener analyzes stocks, focusing on demand and supply zone proximity and key price levels.
Understanding the columns in the Pine Screener and how to interpret them for your trades.
This screener is available exclusively to Premium and higher TradingView plans, so ensure your account is upgraded to take advantage of this feature.
Greaves Cotton Trendline Breakout after Taking Support Earlier NSE:GREAVESCOT today broke the Rising Trendline taking support beautifully near the convergence of 200 DSMA and Demand Zone Few Days Ago. The MACD is Strongly Positive.
Today it Had a Huge Volume candle on the back of news of board approval of the subsidiary's IPO Greaves Electric Mobility (GEML). GEML's IPO will involve a fresh issue of equity shares and the sale of shares by some existing shareholders although IPO is subject to approval by GEML's shareholders.
NSE:GREAVESCOT is primarily engaged in the manufacturing of engines, engine applications and trading of power tillers, spares related to engines, electric vehicles and infrastructure equipment.
A Close above ATH will have a Fresh UPMOVE for a Swing Trade.
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Disclaimer: This analysis is intended solely for informational and educational purposes and should not be interpreted as financial advice. It is advisable to consult a qualified financial advisor or conduct thorough research before making investment decisions.
GHCL Analysis: Supply & Demand Zones Strategy with Breakouts In this video, we analyze the NSE:GHCL chart using the Demand and Supply Zones Lite Indicator.
Watch as I explain how to:
Identify Stage 1, Stage 2 , and consolidation phases.
Spot breakouts and understand the concept of a flush .
Use demand zones nested inside resistance-turned-support areas to plan high-probability trades.
This video is perfect for anyone looking to improve their technical analysis skills and learn how to trade using demand and supply zones.
Disclaimer: This video is for educational purposes only. Always conduct your own analysis before making trading decisions."
IRCTC-A monopoly stock available at discount!Technically, IRCTC has been in an uptrend since its listing in 2019.
Stock has taken support multiple times at trendline visible on chart.
If stock breaks this trendline due to bearish broader market, we can see a swift move towards 660 levels which is yet another demand zone.
Levels given on chart.
As most of us know, it is a monopoly PSU stock and has big potential in long term given the expansion of rail networks in India. It is not a recommendation but my personal opinion. I am a NISM Certified research analyst and not SEBI registered.
Universal Cables Breaking Out With Good Volumes.NSE:UNIVCABLES today made a king candle hitting the upper circuit of 20% throughout the day with a huge Volume Candle. It took support from a Major Demand Zone With MACD Showing a Buy Signal, until 20 DSMA or Demand Zone is not Breached the up move will Continue further.
NSE:UNIVCABLES is predominantly engaged in the business of manufacturing a large range of power cables from 1.1kV to 400kV & capacitors, Turnkey Projects and other types of wires and cables, conductors, etc.
📌Thank you for exploring my idea! I hope you found it valuable.
🙏FLLOW for more
👍BOOST if useful
✍️COMMENT Below your views.
Meanwhile, check out my other stock ideas below until this trade is activated. I would love your feedback.
Disclaimer: This analysis is intended solely for informational and educational purposes and should not be interpreted as financial advice. It is advisable to consult a qualified financial advisor or conduct thorough research before making investment decisions.