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Downtrend

RELIANCE: When was the last time you saw the stock down over 8%?RELIANCE sells off with a historical one-day fall of 180 points. The stock has been in a downtrend for some time and never managed a bounce back for pull-back traders to initiate a short trade. Over the past three weeks, the stock has corrected significantly from its recent high of 2300. Not to forget the fact that RELIANCE is the top-weighted stock in the bourse. So how far will it fall? This is the daily chart of RELIANCE wherein I have marked important zones of demand and supply which have proven itself in the past. On top of that, I have plotted the Fibonacci Retracement to find confluences. And yes, we do have a few of them. First, the range of (1790-1820), which is the immediate support for the stock. Considering the momentum with which the stock corrected today, we can expect a soft landing at this zone soon. It's a little far fetched, but the zone of (1600-1620) is a very strong support range for the stock, which we do not expect to get tested anytime soon, but will definitely keep in mind if things go really bad. Any counter bounce back from current prices, of course, will face multiple resistances of which the first one is at the psychological 2K level. Strategically, if you are short on the stock and making money, then it’s a good idea to protect open profits by trailing stop loss. And if you are contemplating a buy at lower levels in your cash portfolio, then a staggered approach below 1850 towards 1790 is advisable. Trade Well. Trade Wise.
NSE:RELIANCE1!
by Abhijit_Paul
NIFTY drops 100 points! Which levels to lookout for?Nifty - Technical Analysis: -NIFTY gapped up but instantly started falling from 11300 -It fell till 11100 and bounced back from it to move sideways for the rest of the day - Nifty ended at 11,153.65 with a loss of 97 points or 0.86 percent. Market - Driving Factors: -Among the sectoral indices, BSE IT and Teck ended in the green, bucking the trend. On the flip side, Realty, Oil & Gas, Capital Goods and Industrials lost 2 percent. -Concerns over the rising pandemic across the globe continued to weigh down the Indian market -HCL Tech, TCS, Sun Pharma, Tech Mahindra, and Grasim were the top gainers on the Nifty50 index while Zee, GAIL, Bharti Infratel, Adani Ports and Maruti led the losses. -Nifty Bank and Nifty Metal also shed around 1 percent for the day. Meanwhile, Nifty Pharma rose over 1 percent and Nifty IT added 0.9 percent. Nifty - Outlook for Wednesday, 23th September: We feel the ongoing correction is an opportunity to accumulate strong companies with a medium-term view. If you have some longterm bets in a portfolio you can add more to them. While concerns of increasing coronavirus cases is coming back, a second wave information could be incorporated in the markets soon. We expect it to continue downtrend and see lower levels of 11000.
NSE:NIFTYShort
by Algokart
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