Here I will apply something known as Average Directional Index (ADX).
As we know, the ADX line indicates the strength of underlying trend, be it upwards or downwards. It is composed of two other lines, +DI(green) and the -DI(red) line.
It indicates, how strong or weak the buyers or sellers are.
Few traders use this to understand the reversal of...
I bought 1000 PNB today at 111.6.... playing for the bounce from its support of 111-112 which is also its 52 week low .....with small stoploss of 108.6...
as per news it may look risky , but as per chart it is a good trade as per risk reward.
even if it reaches 117.6 ... R:R will be 1:2 ..and as per chart odds are with me ;)
NSE:PNB is showing good market structure with rising volume on up-moves. * See those green volume spikes.
Short-term target would be intermediate resistance of 129.
Stop-loss would be a good trendline break.
Its been observed that PNB has been following an up trending channel since 24 may 2016.
Considering the fundamentals, current events and upcoming events I am strongly bullish on PNB.
Please feel free to share your thoughts and suggestions on this.
PS: A small violation in the channel pattern was observed on the US election results day (09 NOV 2016) when the...