Short Cadila 330 PE at 5.9
Prologue - Cadila is a good company; in a downtrend and because of trump it is cyclic in short-term which makes it a good bet for swing trading. So far I have done 8 trades in it in swings and shared 3.
Let me share the past trades once before we move ahead so that you can get the pedigree of ...
Price action in this stock is very interesting and promising. I am looking for a breakout above the immediate resistance at 366-368 range via a strong green candle with above-average volume. If my assessment is right, we should see a mark-up in Wyckoff Phase-D soon.
Watch this space for updates & a Point & Figure chart with horizontal count targets soon.
Bounced from support multiple times.
Closing price is 356.9
Buy 360 CE (closing price is 14.6)
Sell 370 CE (closing price is 10.2)
Breakeven is at 364.4
Max Loss = 7040 when price stays below 360 at expiry
Max profit = 8960 when price stays above 370 at expiry
The recent price action has all characteristics of a Wyckoff Accumulation. If the assessment is correct, the price should see a good lift up soon. The rally should be on the back of increasing spread and increasing volume. If this happens. I will be happy to buy the stock. Let's see how it unfolds.