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Supportandresistancezones

Hindustan Unilever Strong BreakoutBased on my analysis of the daily timeframe chart of Hindustan Unilever, it appears that the stock has recently broken out above a strong resistance zone that has been tested multiple times. This presents a potentially good opportunity for a swing trade. For entry, I recommend going long at the open of the next candle. However, it is prudent to enter with only half of the desired position size initially, as many breakouts tend to fail. If the price pulls back to the flip zone and finds support before resuming its upward movement, we can add the remaining half of the position size. It is worth noting that sometimes the price does not pull back, which is why we are entering the trade with only half of the desired position size right after breakout. Regarding the stop loss, I suggest placing it below the resistance zone with a buffer to mitigate the risk of getting stopped out too early. As for the target, I recommend aiming for a 1:3 risk to reward ratio. This means that for every unit of risk taken (i.e., the distance between the entry point and the stop loss), we are targeting three units of potential profit. Thank you for reading this post. If you found it helpful, please consider giving it a like and following me for more trading insights and market analysis in the future.
NSE:HINDUNILVRLong
by vt_trader
2
BANKNIFTY : (PIVOT AUCTION CHART) Hey Pivster's NSE:BANKNIFTY having a beautiful and smooth weekly pivot auction chart where you can see the "support" (WH3-MH3 zone) turned into "resistance" alongside the Weekly Bearish GPZ setup. A brief synopsis for BankNifty: -> We see a gap-up opening in the month of July'2023 with the first 30m candle close above WH3 and MH3 zone. -> After making a swing high of 45353.20 it goes to dip and retest the WH3-MH3 zone (responsive players zone) where BNF takes a clean initial support by making a swing low as 45000.25 (round number) but does not breaks 45000. -> BNF proceeds with the strength of daily intraday pivot based initiative players and a wild move happens in 2nd trading session of the month on 4th July,2023 where the price travels upside to mark a swing high 45655.50 which basically is above the MH4-WH4 zone (initiative players zone) but crisply closes within the zone and immediately a long sellers candle can be in the following 30min candle. -> We see a responsive ranged based move for next 2 trading sessions (Check the Mother Candle of 5th July, 2023). -> And as much needed breakout/breakdown on the last trading session of the previous week i.e. 7th July, 2023 we get a gap down opening which takes support from the marked zone and also 2D mother candle low. -> Comes the awaited breakdown with a clean price-action as follows- * Breakdown of Intraday 30min ORB range * Breakdown of WH3-MH3 zone marking a comeback of broader responsive players * Breakdown of 2D Mother Candle range And, as we see price now travels to the 'GAP-UP ZONE' which was created on the starting of the July month. -> What happens today must now be very clear and fun to interpret as per the pivot auction theory which is as follow - * Price pushed to gap up opening towards the WH3-MH3 zone which is beautifully in confluence with the 'Daily Bearish GPZ' * As we expect the support turns resistance and we see a ORB (30min) breakdown in the second half. I hope you enjoyed the read time for the BNF synopsis and hopefully take home a lot of things, factors and situations to your learning desk and sharp mind which is powerful enough to decode every problem. MORAL - Stock Market is EASY, but not SIMPLE :) If you thought this was helpful to you then share the same with your fellow traders / friends / family etc..... Regards, Mukkull
NSE:BANKNIFTY
by PivotMinati
8
AUDUSD retreats from 0.6700 as China inflation easesAUDUSD consolidates the first weekly gain in three as softer inflation numbers from the biggest customers, namely China, drag the quote from a fortnight-old falling resistance line, around the 0.6700 round figure. The pullback move also retreats as the RSI eases from the overbought territory, which in turn suggests the Aussie pair’s further weakness towards the 61.8% Fibonacci retracement of May-Jun upside, near 0.6630. However, a horizontal area comprising multiple levels marked since June 01, close to 0.6585-95, appears a tough nut to crack for the bears. In a case where the sellers dominate past 0.6585, the odds of witnessing a slump toward the late May swing low of around 0.6458 can’t be ruled out. Meanwhile, the aforementioned two-week-long descending resistance line around 0.6700 guards the immediate upside of the AUDUSD pair ahead of the 100-SMA hurdle surrounding 0.6715. Following that, the late June high of near 0.6720 and 23.6% Fibonacci retracement level of near 0.6800 can challenge the risk-barometer pair’s upside before directing the bulls toward the previous monthly high of around 0.6900. Overall, AUDUSD’s previous weekly gain appears a one-off affair unless the US inflation signals keep softening.
by MTradingGlobal
Falling wedge highlights EURUSD as markets await FOMC MinutesEURUSD pares weekly losses within a fortnight-long falling wedge bullish chart formation ahead of Fed Minutes. The major currency pair’s rebound appears more interesting as it stays beyond the 200-EMA amid a steady RSI (14) line, suggesting further upside. However, the Euro bulls need to carve out the 1.0920 hurdle to confirm the bullish pattern pointing towards the theoretical target of 1.1100. However, the late June high of around 1.1010 and the yearly peak of around 1.1095 may act as an intermediate halt during the anticipated rise. Meanwhile, a downside break of the 200-EMA, around 1.0865 at the latest, will direct the EURUSD bears toward confronting the 1.0835-30 support confluence comprising the stated wedge’s bottom line and an ascending trend line from late May. It’s worth noting that a clear downside break of 1.0830 will make the Euro pair vulnerable to testing the early June swing high of around 1.0780. Additionally, the quote’s weakness past 1.0780 could direct it to the previous monthly low of near 1.0660. Overall, the EURUSD pair is likely preparing for a bullish move but the upside needs to cross the 1.0920 resistance and gain support from the dovish Fed Minutes to convince the buyers.
by MTradingGlobal
AUDUSD run-up hinges on 0.6700 break, market’s confidence in RBAThe odds of witnessing further AUDUSD upside appear dicey as a convergence of the 21-EMA and 50-EMA, around the 0.6700 round figure, challenges the bulls, together with the RBA’s inability to defend the hawkish bias. However, a three-month-old ascending support line, close to 0.6600 at the latest, limits the Aussie pair’s downside. Even if the quote drops below 0.6600, the late May swing high of around 0.6560 will test the bears before directing them to the yearly low marked in May around 0.6455. It’s worth noting that the MACD signals seem bearish and the RSI (14) isn’t impressive enough to lure the AUDUSD buyers. If at all the RBA offers another hawkish surprise and propels the quote past the 0.6700 hurdle, the aforementioned oscillators and 38.2% Fibonacci retracement of its February-May downside, near 0.6730, will precede the 50% Fibonacci retracement level of 0.6810 to challenge the Aussie buyers. In a case where the quote remains firmer past 0.6810, the previous monthly high of near 0.6900 will act as the last defense of the bears. Overall, AUDUSD is less likely to end up on the bull’s radar unless successfully crossing the 0.6700, as well as backed by the hawkish RBA decision.
by MTradingGlobal
Swing Trading Opportunity in Sun PharmaOn the daily timeframe chart of Sun Pharmaceutical, the price is approaching a resistance zone that has been tested multiple times. As this resistance has been tested multiple times, it may be considered a weak resistance. If the price gives a strong breakout above this resistance zone, it could present a great opportunity to take a swing trade. For entry, we can go long after a breakout of a strong bullish candle above the resistance zone. It is advisable to initially enter with half quantity, as most breakouts tend to fail. After the breakout, when the price pulls back to the flip zone to take support and then starts moving in the direction of the breakout, we can add the other half quantity. Sometimes, the price doesn't pull back, which is why we enter the trade with half quantity after the breakout candle closes. Regarding the stop loss, we can keep it below the resistance zone with some buffer. We can set the target near the all-time high, as it may provide a significant resistance level and a potential area of profit-taking for traders. However, it is important to note that we should also monitor the price action closely and adjust our target accordingly if we see any signs of weakness or reversal in the trend. If you enjoyed this content, please consider giving it a like and following me for more updates on market analysis and trading strategies. Your support is greatly appreciated!
NSE:SUNPHARMALong
by vt_trader
3
EURUSD bears have a long road ahead before taking controlEURUSD holds onto the previous week’s U-turn from a five-month-old horizontal resistance while bracing for the second weekly loss, targeting the 50-EMA support of around 1.0850 of late amid a looming bear cross on the MACD. That said, the RSI (14) line’s retreat from the overbought RSI also suggests the Euro pair’s further weakness and hence the pair’s fall past the 50-EMA to the 50% Fibonacci retracement of January-April upside, near 1.0785, can’t be ruled out. However, a convergence of the 200-EMA and the 61.8% Fibonacci retracement, close to 1.0715-10, appears a tough nut to crack for the sellers. Even if the quote manages to break the 1.0710 support confluence, an upward-sloping support line from January, surrounding 1.0670, will act as the final defense of the buyers before giving control to the bears. It should be noted, however, that the EURUSD pair’s recovery from the 50-EMA support will be difficult unless crossing the multi-month-old horizontal resistance area around 1.0990. Also acting as the short-term upside hurdle is the 1.1000 psychological magnet. Following that, the yearly high marked in April near 1.1095 holds the key to the major currency pair’s rally toward the March 2022 peak of 1.1185. Overall, the EURUSD is likely to witness further downside but the road towards the south won’t be smooth.
by MTradingGlobal