CNXAUTO trade ideas
nifty auto forming head and shoulders in monthly time frame NSE:CNXAUTO forming head and shoulder pattern , lets see whether it will rebound now or follow the pattern
CNX Auto.. crucial levelsCNX auto is at major support levels ..as marked.
move below this months low will cause a big fall..
Side ways Move ( as A pause ) Let Me tell you flocks , there is two distinctive moves in the market ,
01) Function of Price - All we know as Impulse waves
02) Function of Time - All we know as Corrective waves ( structure )
they always co-ordinate with in them with specific character and being analyst one must understand them in timely manner to adjust or adopt the method of
Positioning and re-positioning of stocks /Futures , Options trading
Auto Index is clearly made an 5 wave impulse move and then entered in side way corrective pattern , Currently i am looking this is developing in to simple
ABC corrective structure , one can expect side ways market to continue until the time factor is accounted
Once this correction completes you can expect another impulse leg move up ,
So keep trading in scrips which show the same visual patterns and keep making money
Good luck
Weekly Out Look -Auto Segment I am still looking this pattern indicate one more move up in coming days , One can look for buy set up on Scrips which have Positive movements
Buy on Dip Strategy..Automotive Sector Index as a whole coming back into the fold, it is eventually moving towards 9000-9500 in next 4-6 months..
Next Move I am looking this as corrective structure , we call it as secondary correction to primary downward trend ,
This move will be slow and mostly looks like a choppy on daily , but the move is going to occur in coming day
One can look for positioning them self for trading in this corrective structures
Consolidation phase ( One of the Possible)Now the Auto Segment have come to an pause on daily time frame basis
its been Quite a move towards down ward , One can look for an consolidations phase in the Auto segment
You will observe they might enter in side way pattern or , partially range bond moves
Try to trade with in the range bond move in Future trading ,
I have plotted one of the best suitable pattern where market has always repeated it self ,
Look forward to trade in individual scrips
AutoWhen sector looming on its bottom line , the returns wouldnt be great in next couple of quarters even if it bottom out. i thought 7500 but went down all the way to 7000. i shifted my support lower which indeed turns out to be good.
