VOLTAS trade ideas
Voltas - Long SetupThe stock is trading in a range for the last 4 months. if gives a breakout at 1065, and sustains above, then may go to 1250 levels or more. Sustaining below 950 will show weakness on the charts.
only for learning and sharing purposes, not a bit of trading advice.
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VOLTASWait And Watch ??
Look for Low risk, High reward, and High Probability setups-
Things to Remember while Trading with the Trend
1. Know what the trend is.
2. The best trades are made in the direction of the trend.
3. Assume that the main trendline or moving average will hold.
4. The longer the moving average is, the better it defines the trend.
5. Wait for the pullback.
6. Don’t chase the market.
7. Don’t fight the market.
8. Even in the strongest trends there should be some retracement.
9. The closer the market is to the trendline, the better the risk/reward ratio is.
10. Use ADX to determine the strength of the trend.
11. Higher the level of ADX , the stronger the trend, below 20 consider the market to be choppy
12. Hold trades longer in a strong trend.
13. Wait for confirmation of a trendline breaking before reversing position.
14. Know where the Support levels are.
15. Place stops outside the Support levels.
Thank You..
Voltas On Chart Losing Strength The prices are in bearish trend in short term , so plan accordingly. But you need to keep some points in mind for making any decision.
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Positive Points , as on chart it looks bearish so let us check some funda points.
1) Stock is trading on lower PE than its pears
2) Voltas is a leading company in it's segment
3) Voltas is also have a global presence
4) The overall demand is increasing by a decent rate , due to which the industry PE is at 70 , so for long term investors are ready to pay at high prices
5) The company is almost debt free
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Negative Points related to it
1) Stock Price chart shifted in bearish zone as we can see a decent inverted flag formation at crucial support zone.
2) The bad part of the story is that overall market is rising but this share is not participating
3) Trading below it's 200 day moving average
4) RSI is below 40
5) MACD is also in red zone
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Note : If you have a long term position so , do not average , you can HOLD this stock but for short term you should be ready for the pain.
For short term play , after breakdown we can bet for a short term play. Manage your risk by taking small SL , in case of big breakdown rally potential reward can be unlocked.
Short Voltas Aug FutureAnalysis Done in 30 M and 15 Minutes Candle
-The price trend shows that it touched a resistance and has returned from there
- In the 15 minutes chart, the stock has closed below 9 EMA
-EMA cross about to be formed
- RSI is reducing and has returned after touching 70+ Zone
-DMI shows negative sentiments and flow are getting in control
-MACD signal for sell looks in formation
- T1:991, T2: 984, T3 973, FINAL TARGET : 944
VOLTAS - SHORT - 8 to 10% downside potentialVOLTAS has given a channel breakdown and heading towards 850 and below (positional view). 930 is a huge support level, if broken then fast move can be expected below this level. However please not this is good fundamental stock and would become a good buying opportunity anything in the range of 900-850 levels and can expect sharp pullback.
Wave analysis: looks like it has broken the 4th wave down and we are into 5th wave, once the 5th wave is completed at around 850 levels, the bounce will be sharp.
Long Voltas trade set upLong Voltas above 990 for the huge target of 1050-1075 with the SL of 955-50.High probability trade setup.
1) Stock at a very high support level. Most of the time stock turns up from the same level.
2) RSI Indicator above 60 levels with positive divergences.
3) Crossing the 200 EMA along with the 50 EMA moving average.
4) Entry point only after the BO of Trend line hourly closing basis candle.
If this trade works risk to reward ratio is 1:4.
This is for your educational purpose only.