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Wedge

Falling Wedge Pattern in Nifty and Breaking of 18000 supportNifty is forming a falling wedge pattern, there is a high likelihood Nifty may trade within this channel. During this channel, it may take support and resistance of 17800 and 1800 in between. In hourly chart, Nifty is trading below 50 EMA and 100 EMA which further confirms bearish pattern. How to trade this setup ? 1. Sell call option and choose strike basis your risk profile, risk averse trader should choose higher strike price. 2. Buy put option when there is bounce with weak candles near resistance You should not do - 1. Buy call option unless Nifty decisively break the 18200 levels 2. Sell put option must be avoided. Macros in favours of Bearish Pattern. 1. Interest Rate Hike by US, India (FOMC Minute) 2. Risk of COVID infection, hospitalization 3. DXY is rising creating pressure on USDINR rate 4. Policy related change in budget 2023, tax implications Happy Thursday :) Regards. TradeManthan Team Disclaimer We are not SEBI registered investment adviser, trade at your own risk. The above information is for learning and knowledge only.
NSE:NIFTYShort
by trademanthan
Bank Nifty: Wednesday - 04/01/23Levels: Support: 43180, 43000, 42650, 42250 Resistance: 43500, 43800 Observations: Rising Wedge formation Pennant Structure broken and in uptrend OI Data: ---------------------------------------------------------------------| Bank Nifty => Price: 43425.25 ATM: 43400 , ITM: 43300, 43200, 43100 , OTM: 43500, 43600, 43700 ---------------------------------------------------------------------| Highest OI Call in Bank Nifty per OI data: 43500 Highest OI Put in Bank Nifty per IO data: 43000 Nearest Major Resistance in Bank Nifty per OI data: 43900 Nearest Major Support in Bank Nifty per IO data: 43100 ---------------------------------------------------------------------| Trade setup: +++++++++++++++++++++++++++++++++++++++++ Trade | Level | SL | T1 | T2 ----------------------------------------- BUY | > 43500 | 43400 | 43700 | 43850 ----------------------------------------- SELL | < 43350 | 43450 | 43150 | 43000 +++++++++++++++++++++++++++++++++++++++++
NSE:BANKNIFTYLong
by pradipandsuvra
Classic Rising Wedge in Bank Nifty** Be Extremely careful with your entry ** (For Educational purpose only) Trade activates only post 43200 breaks on the downside. RnR would be great when (If) this trade activates, Targets are the respective lower highs of the wedge. IMPO was expecting a upmove today, which did happen in the morning. Entered 43200 CE and existed the trade already at 43450 which was the trendline resistance for the day. But not happy with the the current movement in the market, it lacks conviction and seems like a trap now. Will go long only after 43600 huddle is crossed with conviction.
NSE:BANKNIFTY
by Rudved
Nifty501. Rising wedge 2. Inside candle @ 1hr 3. Important support -18080 and 18000 4. Closed above 50 MA 5. Downtrend in 1 day The nifty 50 is continuously moved upside, looking closely we can see that it is moving in a wedge pattern i.e RISING WEDGE. Taking Support at 50 MA and ending up with an Inside Candle bar pattern. Important levels to trade - BUY above 18150 which shows that it had respected the 50 MA and 18080 as support. Sell below 18000 which shows that it crossed 50 MA and 18080 thus looking for a bearish move and also BREAKING DOWN the RISING WEDGE pattern successfully.
NSE:NIFTY
by SUTHARTRADE
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