taj gvk hotel symmetrical triangletaj gvk hotels
forming symmetrical triangle pattern breakout
volume buildup
retest level 435
resistance 485/528 support 400
Wave Analysis
VIEW ON ASHOKA BUILDCON BY KRS CHARTSDate - 21st August 2025 / 10:35 AM
Why ASHOKA ?
1. All-time Bullish Stock technically making HHs & HLs.
2. Further, Price is already in Fibbo Golden Reversal Zone for quite a few times and showing bullish traits again.
3. I was eagerly waiting for to retrace down little bit for 1D previous gap-up needed to be filled it & it's Done!
4. 1D it is showing Morning Star Candle sticks Cluster s with more green Candles and this week likely to be closing with bullish candle stick.
5. Wave Theory wise we are in 4th Wave last upside 5th is loading.
All in All, this is good level to look ASHOKA as a good opportunity 👍✅
Targets and SL are Marked in Chart.
Bitcoin – Continuing to Follow the Bearish StructureBitcoin – Continuing to Follow the Bearish Structure
BTC has continued to follow the earlier analysis, with price moving back towards the 115,000 zone and resuming its downward waves. The descending channel remains intact and is guiding price action, with the next target area expected near 110,000.
To reach this level, BTC may form another Dow-style downward leg, closely tracking the trendline within the channel. That said, traders should be cautious — MACD is showing rising volume and the moving average is beginning to turn upward, which could be an early warning sign against aggressive short positions.
In trading, following the main trend is always the priority. Going against the market should only be considered when there is clear evidence of large liquidity zones or strong trader sentiment at key levels. Otherwise, trading in line with the prevailing trend remains the safer approach.
For BTC, the strategy is to keep following the descending channel and look for entries at trendline touches. Short-term scalping opportunities may arise around 112,600 and 111,800. The medium-term short entered near 115,000 remains active, with targets set towards 110,000. This zone will also be watched closely as a potential buying area, and decisions can then be made on whether to hold positions for the longer term.
This is my trading outlook for BTC. I hope the scenarios are useful, and I’d love to hear your views in the comments.
#BTCUSD #Bitcoin #CryptoAnalysis #TechnicalAnalysis #PriceAction #Trendline #DowTheory #MACD #CryptoTrading #SwingTrading
A buying opportunityHindcopper CMP 241
Elliott - I had noticed the 5 waves in the rally from the lows. Hence this correction becomes an opportunity to buy. This rally will be the 3rd wave and hence will be a strong one. The Fib ext will guide u to the probable tgts.
Fibs - the stock is now taking higher fib zones as support, indicating strength.
RSI - the oscillator back to its bull support is telling me the trend is intact.
Conclusion - the stock is still down some 40% from the highs and is offering a good opportunity. Similar set up is there in SAIL as well hence a rally is a high probability.
Elliott Wave Analysis – XAUUSD (21/8/2025)
1. Momentum
• D1 timeframe: Yesterday’s daily candle closed bullish, confirming upward momentum. This suggests that the dominant trend could remain bullish for the next 4–5 days.
• H4 timeframe: Currently in a corrective move with only 2 bearish candles formed so far. This decline may need another 2–3 candles to complete. A potential bullish reversal could occur during the US session tonight.
• H1 timeframe: Momentum is turning bullish, signaling a short-term upward move. However, since H4 is still in a corrective phase, it is better to observe for now rather than take immediate action.
2. Wave Structure
• D1 timeframe:
With the bullish confirmation on D1, the corrective a–b–c–d–e triangle scenario remains valid. At present, the market is forming wave 1 and wave 2 in blue. This view will be further confirmed once price breaks above the top of wave 1 (blue).
• H4 timeframe:
Previously, I anticipated a possible ending diagonal for wave C in purple. However, with yesterday’s strong rally and the bullish confirmation on D1, the updated structure is more consistent with:
o Wave B (purple) forming a triangle.
o Wave C (purple) already completed.
This suggests the market has entered wave 1 (yellow) and we are now waiting for wave 2 (yellow) to complete in order to look for buy opportunities.
If price drops below 3314, the extended scenario remains valid with a target around 3298. But since D1 momentum supports the bullish case, I will prioritize the bullish scenario for trading.
• H1 timeframe:
H1 momentum indicates a possible pullback. Typically, wave 2 forms as a zigzag or flat correction, retracing to the Fibonacci levels of 0.5 – 0.618 – 0.782.
I believe wave 1 (yellow) may already be complete. However, if H1 momentum continues to push higher, price could reach around 3362 before finalizing wave 1. In that case, traders can use Fibonacci retracement levels to identify entry points for a buy on wave 2.
Potential retracement zones for wave 2: 3333 – 3327 – 3315.
3. Trading Plan
• Buy Zone: 3333 – 3330
• Stop Loss: 3323
• Take Profit 1: 3350
• Take Profit 2: 3381
• Take Profit 3: 3409
LIC (Life Insurance Corp of India) – At a Critical Support ZonePrice has pulled back into a strong demand zone, which has acted as a base since the early structure. If this zone holds, we could be looking at the start of Wave 5 thrust, with potential to retest recent highs near 980 and beyond.
The RSI is holding higher lows , suggesting underlying strength despite the correction.
However, risk management is key:
If 874 support fails, then Wave 4 might not be complete yet, and price could slide further to retest the long-term trendline support (currently aligned near 760).
The bullish invalidation for this count sits below 760.
So, the playbook is simple:
Above 874 → bias for Wave 5 continuation.
Below 874 → extended Wave 4 correction toward trendline.
Disclaimer: This analysis is for educational purposes only and does not constitute investment advice. Always do your own research (DYOR) before making trading decisions.
Multi-Timeframe Study: Consolidations and Patterns📝 Description:
1️⃣ MTF (Monthly) – Displays a broad consolidation structure with a hidden broadening formation and notable volume clusters marked in recent candles.
2️⃣ DTF (Daily) – Highlights an ascending triangle structure, with clear range boundaries and price compression before expansion.
3️⃣ 15MIN (Intraday) – Shows that the maximum price movement and volume activity occurred on a single candle, illustrating how momentum often concentrates in short bursts.
This chart setup serves as an educational view across multiple timeframes, showing how higher- and lower-TF structures can align.
⚠️ Disclaimer:
This post is purely for educational and structural analysis purposes. Not financial advice.
BPCL – Wave 2 Correction in PlayBPCL has completed a clear 5-wave advance from the 234.01 low to the 358.45 high, marking higher degree Wave 1. Price is now unfolding a corrective Wave 2, with Wave (a) already in place.
Wave (b) is likely to take shape as a flat or a triangle before a final Wave (c) down .
The retracement zone (0.5–0.618) from the Wave (1) start to Wave (5) high lies between 296–281, which is quite typical for second waves.
RSI remains weak , suggesting that further downside into this zone is probable before the next leg higher begins.
Invalidation : The bullish count fails if price drops below 234.01 (start of Wave 1).
Overall, the setup favors a corrective pullback completing within the 296–281 zone, before a potential strong Wave 3 rally unfolds.
Disclaimer: This analysis is for educational purposes only and does not constitute investment advice. Please do your own research (DYOR) before making any trading decisions.
Looking for short Opportunity in GOLDLevels Mentioned in Chart
RIsky Trade.
As i can see Gold is in downtrend and looking for major Key Level for support .
Winning Chances 20%
Losing Chances 80%
Asian Paints: Wave 3 Breakout or Wave 4 Still Dragging?Asian Paints seems to have completed a prolonged higher-degree wave 4 correction at ₹2124, marked by a complex overlapping structure. The subsequent rally has shaped into a 1–2, 1–2 sequence, pointing to the possibility of a strong wave 3 breakout. RSI momentum has been steadily rising since the ₹2124 low, and volume expansion adds weight to the bullish case.
However, the price now faces a strong resistance band just overhead. For the bullish impulse to remain valid, wave 3 must cut through this zone decisively. Failure to sustain above it could indicate that wave 4 is still extending sideways, possibly evolving into a triangle or another complex form before the final push higher.
The bullish invalidation remains at ₹2124 — any breakdown below this level would cancel the impulsive view and shift the bias toward further correction.
Disclaimer:
This analysis is for educational purposes only and does not constitute investment advice. Please do your own research (DYOR) before making any trading decisions.
TCS may drip down in the coming week?In the current chart pattern, TCS seems to be on the border of completing its minute wave 4 and may see a fall in the coming days to complete its wave 5.
Bitcoin Update – Price Action Still on TrackBitcoin Update – Price Action Still on Track
Yesterday’s scenario has played out accurately, with BTC continuing to respect the descending channel. Each time price touched the upper trendline, it quickly turned lower, and now it is reacting around the midline of the channel, near the 113,000 zone — exactly the level highlighted earlier as an area to watch.
With this corrective move, I expect BTC could retest the 115,000 area before resuming its broader downtrend. The next downside target remains around 110,000, as larger timeframe structures usually require a corrective pullback before continuing the main trend — something Dow Theory traders will clearly recognise.
Today also coincides with discussions on interest rate policy, which could bring higher volatility as investors take a more cautious stance across global financial markets. However, FOMC outcomes often have limited impact on Bitcoin, given its relative independence from traditional macroeconomic drivers compared to gold or forex markets.
In the short term, traders may consider long opportunities near the 113,000 area with a tight stop just below the recent support, aiming for a corrective move towards 115,000 before the main downtrend resumes.
Strong trading comes from patience and discipline. Stick with the defined scenario rather than reacting emotionally to intraday swings.
Wishing you successful trades. What’s your view on Bitcoin’s price action here? Share your thoughts below.
#BTCUSD #Bitcoin #CryptoAnalysis #TechnicalAnalysis #PriceAction #Trendline #CryptoTrading #SwingTrading
How to read market TOPS like a pro : Double & Triple TopsIn this video I will breakdown about the concepts of Double and triple tops, they aren’t just reversal signals — they’re blueprints of future price action. Here’s how to read market tops like a pro and anticipate what comes next.
Part 1 Trading Master Class Types of Option Strategies
Options allow traders to design strategies based on market view—bullish, bearish, or neutral. Some popular strategies:
A. Bullish Strategies
Long Call – Buy a call option to profit from price rise.
Bull Call Spread – Buy lower strike call, sell higher strike call to reduce cost.
Synthetic Long – Buy call + sell put = behaves like futures long.
B. Bearish Strategies
Long Put – Buy a put option to profit from fall.
Bear Put Spread – Buy higher strike put, sell lower strike put.
Synthetic Short – Sell call + buy put = behaves like futures short.
C. Neutral/Sideways Strategies
Straddle – Buy call and put at same strike (profit from volatility).
Strangle – Buy call and put at different strikes (cheaper than straddle).
Iron Condor – Sell OTM call & put, buy further OTM call & put (profit from low volatility).
D. Income/Theta Strategies
Covered Call – Hold stock + sell call option for extra income.
Cash-Secured Put – Sell put option while keeping cash aside to buy stock if assigned.
Divergence SecretsKey Terminologies in Option Trading
Before diving deep, let’s understand some essential terms:
Call Option: A contract that gives the buyer the right (but not the obligation) to buy an asset at the strike price before expiry.
Example: Buying a Reliance ₹2500 Call Option means you can buy Reliance shares at ₹2500 even if the market price rises to ₹2700.
Put Option: A contract that gives the buyer the right (but not the obligation) to sell an asset at the strike price before expiry.
Example: Buying a Nifty 19000 Put Option means you can sell Nifty at 19000 even if the market falls to 18500.
Premium: The price paid to buy the option contract.
Example: If a Nifty 20000 Call is trading at ₹150, that ₹150 is the premium.
Strike Price: The pre-decided price at which the option can be exercised.
Expiry Date: The last date on which the option contract is valid.
In-the-Money (ITM): Option that already has intrinsic value.
Example: Nifty at 20000 → 19500 Call is ITM.
Out-of-the-Money (OTM): Option that has no intrinsic value (only time value).
Example: Nifty at 20000 → 21000 Call is OTM.
At-the-Money (ATM): Option strike price is closest to current market price.
Lot Size: Options are traded in predefined lot sizes, not single shares.
Example: Bank Nifty option lot size = 15 units (as per 2025 rules).
Option Chain: A tabular representation showing available strikes, premiums, open interest, etc. for calls and puts.
Part 2 Support And ResistanceWhy Options Exist?
Options exist to manage risk and to create trading opportunities. Think of them as financial insurance. Just like you pay a premium for car insurance to protect against damage, in options trading, investors pay a premium to protect themselves against adverse price moves.
For Hedgers: Options act as insurance. A stock investor can buy a put option to protect his portfolio if the market falls.
For Speculators: Options provide leverage. With small capital, traders can take large directional bets.
For Arbitrageurs: Options open opportunities to exploit price inefficiencies between the spot, futures, and options markets.
Key Terminologies in Option Trading
Before diving deep, let’s understand some essential terms:
Call Option: A contract that gives the buyer the right (but not the obligation) to buy an asset at the strike price before expiry.
Example: Buying a Reliance ₹2500 Call Option means you can buy Reliance shares at ₹2500 even if the market price rises to ₹2700.
Put Option: A contract that gives the buyer the right (but not the obligation) to sell an asset at the strike price before expiry.
Example: Buying a Nifty 19000 Put Option means you can sell Nifty at 19000 even if the market falls to 18500.
Premium: The price paid to buy the option contract.
Example: If a Nifty 20000 Call is trading at ₹150, that ₹150 is the premium.
Strike Price: The pre-decided price at which the option can be exercised.
Expiry Date: The last date on which the option contract is valid.
In-the-Money (ITM): Option that already has intrinsic value.
Example: Nifty at 20000 → 19500 Call is ITM.
Out-of-the-Money (OTM): Option that has no intrinsic value (only time value).
Example: Nifty at 20000 → 21000 Call is OTM.
At-the-Money (ATM): Option strike price is closest to current market price.
Lot Size: Options are traded in predefined lot sizes, not single shares.
Example: Bank Nifty option lot size = 15 units (as per 2025 rules).
Option Chain: A tabular representation showing available strikes, premiums, open interest, etc. for calls and puts.
EDUCATIONAL | Wave C in progressBitcoin completed Waves A and B
Wave A formed a Triangle while Wave B was a Diametric
Wave B formed in less time than Wave A, which is not possible in Flats
And Wave A was a triangle which is possible in a Diametric/Symmetrical
So, Wave C which is currently in progress could itself be a corrective fall and part of a larger Diametric formation on a daily timeframe
NIFTY LTP 25034: NEARING LOCAL TOP?LTP:25034
Supports: 24850/24455
Is Nifty ready for a correction?
Upside immediate target zone: 25055-110-189.
I expect a correction before next move towards 25300-25555
But I don't expect a big correction. The correction may be shallow.
Futures & Derivatives TradingIntroduction
The financial world is full of instruments designed to manage risk, improve returns, or speculate on price movements. Among these, derivatives stand out as some of the most powerful yet complex tools. They have been both praised for providing risk management solutions and criticized for their misuse in speculative bubbles.
At the heart of derivative trading lies futures contracts, which are widely used in stock markets, commodities, currencies, and even cryptocurrencies today. For beginners, the idea of betting on future prices might seem abstract, but in practice, derivatives are an essential pillar of modern finance.
In this guide, we’ll break down what derivatives are, how futures work, their role in trading, strategies, advantages, risks, and real-world examples. By the end, you’ll have a strong grasp of this exciting domain.
1. What Are Derivatives?
A derivative is a financial contract whose value is derived from the price of an underlying asset.
Underlying assets can be stocks, bonds, commodities (gold, oil, wheat), currencies, indices (Nifty 50, S&P 500), or even interest rates.
The derivative itself has no intrinsic value—its worth comes purely from the asset it tracks.
Key Types of Derivatives:
Futures – Standardized contracts to buy/sell an asset at a predetermined future date and price.
Options – Contracts that give the buyer the right, but not the obligation, to buy/sell at a specific price within a certain period.
Forwards – Similar to futures but customized and traded over-the-counter (OTC).
Swaps – Agreements to exchange cash flows (e.g., fixed vs. floating interest rates).
Futures are the most actively traded derivatives worldwide, making them the cornerstone of modern derivative trading.
2. Understanding Futures Contracts
A futures contract is an agreement between two parties to buy or sell an asset at a future date for a price decided today.
Features of Futures:
Standardized: Contracts are uniform in terms of size, expiration date, and rules (unlike forwards).
Exchange-traded: Futures trade on regulated exchanges (like NSE in India, CME in the US).
Margin & Leverage: Traders don’t pay the full contract value upfront. Instead, they deposit a small margin, which allows them to control large positions with less capital.
Settlement: Contracts may be settled physically (actual delivery of the asset) or in cash (profit/loss paid without delivery).
Example:
Suppose you buy a Nifty 50 Futures contract at 22,000. If at expiry, Nifty is at 22,500:
You gain = 500 × lot size (say 50) = ₹25,000.
If Nifty falls to 21,800:
You lose = 200 × 50 = ₹10,000.
This leverage magnifies both profits and losses.
3. Why Futures & Derivatives Exist
Derivatives serve three main purposes:
Hedging (Risk Management)
Farmers use commodity futures to lock in crop prices.
Importers hedge currency risk using forex futures.
Stock investors hedge downside risk with index futures.
Speculation
Traders bet on the price direction of oil, stocks, or indices without owning them.
Speculators provide liquidity to the market.
Arbitrage
Traders exploit price differences between spot and futures markets for risk-free profit.
Without derivatives, markets would be less liquid, riskier, and less efficient.
4. Futures Market Structure
Futures trading involves multiple participants:
Hedgers – Reduce risk (e.g., a farmer locking wheat prices).
Speculators – Take risk to profit from price changes.
Arbitrageurs – Exploit mispricing between markets.
Exchanges – NSE, CME, ICE, etc., which standardize and regulate contracts.
Clearing Houses – Guarantee contract performance and manage counterparty risk.
This structure ensures trust, transparency, and liquidity.
5. Key Terminologies in Futures & Derivatives
Spot Price – Current market price of the underlying asset.
Futures Price – Price agreed for future delivery.
Margin – Initial deposit (usually 5-15% of contract value) to trade futures.
Mark-to-Market (MTM) – Daily settlement of profits/losses.
Lot Size – Minimum quantity per contract (e.g., Nifty Futures = 50 units).
Expiry Date – Last date on which the contract is valid.
Open Interest – Total outstanding contracts in the market.
6. Trading Futures: Step-by-Step
Let’s walk through how a futures trade happens:
Decide Asset: Choose whether to trade index, stock, commodity, or currency futures.
Select Contract: Pick expiry month (near-month, mid-month, far-month).
Check Margin: Ensure sufficient capital for margin requirements.
Place Order: Buy (long) if expecting rise, Sell (short) if expecting fall.
MTM Adjustments: Profits/losses credited daily to trading account.
Exit or Hold: Close position before expiry or hold till expiry for settlement.
This cycle repeats every expiry, creating continuous opportunities for traders.
7. Strategies in Futures Trading
(A) Hedging Strategies
Long Hedge: A company buying raw material futures to guard against price rise.
Short Hedge: A farmer selling wheat futures to protect against price fall.
(B) Speculative Strategies
Long Futures: Buy futures anticipating price increase.
Short Futures: Sell futures anticipating price decline.
(C) Spread Trading
Calendar Spread: Buy near-month futures, sell far-month futures.
Inter-Commodity Spread: Trade two related commodities (e.g., crude oil vs. heating oil).
(D) Arbitrage Strategies
Cash & Carry Arbitrage: Buy asset in spot, sell futures if futures are overpriced.
Reverse Arbitrage: Sell asset in spot, buy futures if futures are underpriced.
8. Futures in Different Markets
(i) Stock Index Futures
Most popular in India (Nifty, Bank Nifty).
Allow trading market direction without stock picking.
(ii) Single Stock Futures
Futures on individual stocks (e.g., Reliance, TCS).
Higher risk as volatility is stock-specific.
(iii) Commodity Futures
Gold, silver, crude oil, wheat, copper.
Essential for farmers, producers, and speculators.
(iv) Currency Futures
USD/INR, EUR/USD, GBP/INR.
Help businesses hedge forex risk.
(v) Interest Rate Futures
Bonds and Treasury futures.
Used by banks and institutions to manage interest rate risk.
(vi) Crypto Futures
Bitcoin, Ethereum futures on exchanges like CME and Binance.
Extremely volatile, attracting speculative traders.
9. Advantages of Futures & Derivatives
Leverage: Control large positions with small margin.
Liquidity: Futures markets are highly liquid.
Transparency: Exchange-traded and regulated.
Hedging: Protection against adverse price movements.
Arbitrage Opportunities: Ensure fair pricing between spot and futures.
10. Risks in Futures & Derivatives
Leverage Risk: Small price moves can cause huge losses.
Liquidity Risk: Some contracts may lack liquidity.
Market Risk: Prices may move unpredictably.
Margin Calls: Traders must add funds if losses reduce margin balance.
Speculative Excess: Misuse of leverage can lead to financial crises (e.g., 2008).
Conclusion
Futures & derivatives are double-edged swords. Used wisely, they provide powerful tools for hedging, speculation, and arbitrage. Misused, they can cause devastating losses.
For traders, understanding market structure, margin system, risk management, and strategies is key before jumping in. Futures are not just about predicting the market—they’re about managing uncertainty.
Whether you’re a farmer protecting crop prices, a company managing forex risk, or a trader chasing short-term profits, derivatives are central to modern finance. With discipline and knowledge, they can open doors to immense opportunities.
Price Action Trading Strategies1. Introduction to Price Action Trading
In the world of trading, countless strategies exist—some rely heavily on indicators, some on algorithms, and others on fundamental data. But one timeless method stands apart: Price Action Trading.
At its core, price action trading is the art of making trading decisions solely based on the movement of price on the chart, without depending too much on lagging indicators like RSI, MACD, or moving averages. Instead, traders read the raw story of the market through candlestick structures, patterns, and levels.
Think of it as reading a book. Every candle tells a story:
Who is stronger—buyers or sellers?
Is the market trending or consolidating?
Is there a potential reversal or continuation?
This method has been used for decades by professional traders because price is the ultimate truth. Indicators may lag, news may be noisy, but price always reflects what’s happening in real time.
2. Core Principles of Price Action
Before diving into strategies, let’s build the foundation.
(a) Market Structure
Price moves in waves—higher highs & higher lows in an uptrend, lower highs & lower lows in a downtrend. Recognizing market structure helps you avoid trading against the dominant flow.
(b) Support and Resistance
These are the backbone of price action trading:
Support: A price level where demand is strong enough to stop a fall.
Resistance: A level where supply is strong enough to cap a rise.
Traders often mark these levels on daily, 4H, or 1H charts to identify potential entry zones.
(c) Supply and Demand Zones
Instead of flat lines, advanced traders look at zones (rectangular regions) where large buying/selling orders entered the market. Price often reacts strongly when revisiting these zones.
(d) Candlestick Psychology
Candlesticks show battle outcomes between bulls and bears. For example:
Long wick at bottom = buyers rejected lower prices.
Engulfing candle = strong reversal signal.
Understanding this psychology forms the essence of price action trading.
(e) Trendlines & Channels
Drawing trendlines helps in identifying trend continuation and potential breakout points. Price often respects channels before making strong moves.
3. Key Tools of Price Action
Unlike indicator-heavy traders, price action traders rely mainly on the chart itself. Key tools include:
Candlestick Patterns (Doji, Pin Bar, Engulfing, etc.)
Chart Patterns (Head & Shoulders, Double Top/Bottom, Triangles, Flags)
Breakouts & Retests
Volume Analysis (optional but powerful to confirm breakouts)
These tools are combined to form actionable strategies.
4. Popular Price Action Patterns
(a) Pin Bar (Rejection Candle)
Long wick + small body.
Signals rejection of a price level.
Example: A bullish pin bar at support indicates buyers defending the zone.
(b) Engulfing Pattern
A candle completely engulfs the previous one.
Bullish engulfing after a downtrend = reversal to upside.
Bearish engulfing after an uptrend = reversal to downside.
(c) Inside Bar
Small candle within the previous candle’s range.
Indicates indecision, often followed by strong breakout.
(d) Double Top & Double Bottom
Double Top: Price tests a resistance twice but fails → bearish reversal.
Double Bottom: Price tests support twice but fails → bullish reversal.
(e) Head and Shoulders
Classic reversal pattern indicating exhaustion of trend.
Head & Shoulders Top → bearish reversal.
Inverse Head & Shoulders → bullish reversal.
5. Price Action Trading Strategies
Now, let’s explore actionable strategies.
Strategy 1: Support & Resistance Bounce
Mark strong daily/weekly support and resistance.
Wait for price to test these levels.
Look for candlestick confirmation (pin bar, engulfing).
Trade in the direction of rejection.
👉 Example: Bank Nifty tests 45,000 support and forms bullish engulfing → buy with stop-loss below support.
Strategy 2: Breakout and Retest
Markets often consolidate before breaking out strongly.
Steps:
Identify a consolidation range.
Wait for breakout (above resistance / below support).
Don’t jump immediately—wait for retest of the broken level.
Enter trade in breakout direction.
👉 Example: Nifty breaks out of 20,000, comes back to retest 20,000 → strong buy.
Strategy 3: Trendline Trading
Draw a trendline connecting higher lows in an uptrend or lower highs in a downtrend.
Buy near trendline support in uptrend, sell near trendline resistance in downtrend.
Look for pin bars or engulfing candles as confirmation.
Strategy 4: Supply & Demand Zone Trading
Mark zones where strong rallies or falls originated.
Wait for price to revisit those zones.
Look for candlestick rejection.
Enter with stop-loss beyond zone.
👉 Example: Reliance stock rallies from ₹2,200 to ₹2,400. Mark demand zone at ₹2,200–₹2,220. When price revisits, buy again.
Strategy 5: Inside Bar Breakout
Find inside bar pattern (consolidation).
Place buy stop above high, sell stop below low.
Whichever breaks, enter trade.
Works best in trending markets.
Strategy 6: Fake Breakout (Stop Hunt Strategy)
Institutions often trigger stop-losses before moving price in real direction.
Spot false breakouts near key levels.
Enter in opposite direction after quick rejection.
👉 Example: Price breaks below support, instantly reverses with bullish engulfing → buy.
Strategy 7: Multi-Timeframe Price Action
Identify higher timeframe trend (daily/4H).
Drop to lower timeframe (15M/1H) for entry.
Align both trends for high probability setups.
Strategy 8: Range Trading
In sideways markets, mark horizontal support & resistance.
Buy near support, sell near resistance.
Exit at opposite boundary.
Strategy 9: Pullback Entry
In a trending market, avoid chasing moves.
Wait for pullback to support (uptrend) or resistance (downtrend).
Enter when trend resumes.
👉 Example: Nifty rallies, pulls back to 20EMA, forms bullish engulfing → buy continuation.
Strategy 10: Price Action with Volume
Combine volume with candlestick setups.
Breakout + high volume = strong move.
Pin bar rejection + high volume = reliable reversal.
6. Risk Management in Price Action Trading
No strategy works without proper risk control.
Always use stop-loss (below support for buys, above resistance for sells).
Risk only 1–2% of capital per trade.
Use risk-to-reward ratio (R:R) of at least 1:2.
Avoid overtrading—wait for high-quality setups.
7. Psychology in Price Action
Price action requires patience. Unlike indicator traders, price action traders must wait for price to tell its story.
Key psychological rules:
Don’t predict; react.
Avoid FOMO (fear of missing out).
Stick to your trading plan.
Journal every trade for review.
8. Advantages of Price Action Trading
Works across all markets (stocks, forex, commodities, crypto).
No dependency on lagging indicators.
Helps understand real market psychology.
Clean charts → better decision-making.
9. Limitations of Price Action
Subjective → two traders may draw different support/resistance.
Requires experience & screen time.
False signals in volatile markets.
Needs discipline to wait for confirmation.
10. Conclusion
Price action trading is a timeless and powerful method for understanding market movements. It doesn’t rely on fancy indicators but instead focuses on the raw truth: the price itself.
Whether you trade intraday, swing, or positional, mastering price action strategies—support/resistance, breakouts, pin bars, engulfing patterns, supply-demand zones—can give you an edge.
But remember: strategies alone don’t guarantee profits. Discipline, risk management, and patience are equally important. Price action is like learning a new language—the more you practice, the more fluent you become in reading the market’s story.
Elliott Wave Analysis – XAUUSD 20/8/2025
1. Momentum
• D1 timeframe: Momentum lines are still “sticking” together, signaling that the bearish pressure is weakening. However, without a strong bullish D1 candle to confirm reversal, there is still a risk of sudden downward spikes. Patience is required until a clear bullish confirmation appears.
• H4 timeframe: Momentum is currently turning bullish, suggesting a potential upward move today. But caution is needed: if the bullish candles are short, overlapping each other, and when momentum reaches the overbought zone without breaking the previous high → this move is likely just a corrective rebound.
• H1 timeframe: Momentum is in the overbought area, indicating the possibility of a minor pullback or sideways movement in the short term.
2. Wave Structure
• D1 timeframe: The corrective triangle structure remains valid (only invalidated if price breaks below 3270). The main scenario continues to favor wave 1 and 2 in blue, with price currently in wave 2.
• H4 timeframe: The decline in wave C shows overlapping sub-waves, each formed by 3-wave structures, hinting at the possibility of an ending diagonal for wave C. The pattern is not yet complete, so we need further observation for confirmation.
• H1 timeframe: Within the 5-wave structure of an ending diagonal, wave 3 is typically the strongest and a divergence usually occurs between wave 3 and wave 5 on RSI. Yesterday’s decline pushed RSI into the oversold zone, but no divergence has formed yet. Combined with H4 momentum turning bullish, this suggests the current move is likely wave 3 (yellow). A corrective wave 4 upward is expected, followed by a final decline to complete wave 5 with RSI divergence. Once wave 5 ends, the entire wave C diagonal will be complete, paving the way for a strong bullish rally — a typical characteristic of ending diagonals.
3. Trading Plan
The strategy is based on the ending diagonal pattern:
• Conservative approach: Wait for a breakout above the upper boundary of the diagonal before entering.
• Aggressive approach: Wait for wave 5 to complete and enter at the projected bottom of wave 5.
Trade setup:
• Buy Zone: 3301 – 3299
• Stop Loss (SL): 3219
• Take Profit (TP1): 3314
• Take Profit (TP2): 3362
• Take Profit (TP3): 3381
Gold Update – Asian Session Ahead of FOMCGold Update – Asian Session Ahead of FOMC
After yesterday’s sharp decline below 3312, gold found strong support and is now consolidating sideways, building liquidity for the next move. From the current outlook, a short-term rebound is likely before the broader downtrend continues.
Looking at structure, the descending channel remains intact with price respecting the trendline, and yesterday’s break out of the triangle formation reinforced the bearish bias.
From an Elliott Wave perspective, the market may now be forming wave 4. If this rebound carries price back towards the 3325–3330 zone, it will retest a strong resistance area that has repeatedly capped price before. Should that happen, wave 5 could begin — and by theory, it is often the strongest leg.
Fibonacci projections highlight the next support near 3295. If tonight’s FOMC meeting delivers a hawkish outcome in favour of the US dollar, gold could even extend lower towards 3280.
For short-term trading, buyers may consider positions near 3316 with a tight stop just below the recent low, aiming to capture the corrective move of wave 4. On the flip side, if price reacts around 3325–3330, this may provide an opportunity to sell into the expected wave 5, with potential targets extending 40–50 dollars lower if momentum strengthens.
A sustainable trend always alternates between retracements and impulses. Patience in waiting for the right wave often leads to more effective trades than rushing to pick tops or bottoms.
Do you think the FOMC this month will announce a positive interest rate outlook? Share your thoughts in the comments.
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