PNB has high call premium for CE90
PNB has recovered debt of some 11300 Crs - NEWS
What should we do ?
Go long above 83 when RSI is atleast above 20 and price is above 20 period simple moving average
Method of prediction : Intuition
Why Selected SBIN for analysis ?
- PE290 premium is 2.44% of spot price and therefore people are betting more and more for 290 or below.
Levels please !!
Levels provided in the graph
buy some suitable PE when CMP is below 288 for target of 272
Highest OI for PUT also happens to be at 270
Max pain calculator suggest max pain value as 300
Why AxisBank ?
Call premium for CE660 in the market has gone as high as 2.5% . I expect some drama !
(Source NSE website)
Why are all mad about AxisBank and looking a topside of 660 , which also happens to be recent high?
Probably they are looking at Cup and handle structure in 1D chart. Cup and handle is good idea.
another possibility could be that AXIS has...
recent high 431
Method to calculate next level
(sqroot(431) -1 )^2 = 391
Draw horizontal tangent to SMA20 (simple moving average of 20 period) , i.e. draw horizontal line at slope of SMA20 and we get 382
now 382 is also equal to :-------------
431 - 1.23 * (431-391) = approx 382
so we have two important levels 391 and 382
recent high 346
next target 309 (sqroot(345) -1)^2
346 minus 0.618 of diff between 346 and 309 = 323 (will be treated as support)
another support line is 324 from the graph (i.e. tangent to 20 SMA)
So, conclusion 324 and 323 will act as good point of support for few days, once broken it should technically land at 309.
But looking to the graph 312 is...
Recent low was on 7th Aug 2018 : 6172 and high was 6909 ,
6909 - 0.23(6909-6172) = CMP of 6739
What a coincidence?
Other levels using Gann :
6330 (sq root of 6172 +1 and again squaring)
6490 (same as above)
CMP : 6736
So , T-1 : 6816 (as discussed above also by drawing tangent to SMA20)
T2 : 6842 (by drawing tangent to SMA20)
T3 : 6874 (by...
The price of 343.5 is presently resting at a support, see 20 days moving average and you will find that at a crest of this moving average price was 343.5
360 was support , got breached and now acting as resistance
342 is 50% retrenchment
340 is round figure (this one was funny !)
338 is 0.618% retrenchment
If you dont believe in funny part (340), you may also...
All targets and levels have been explained in chart.
RSI is good.
It has already gone down many points
though it may be risky bet as NIFTY closed in RED today.
Please note that all targets are valid for 1-2 days.
My first target is very conservative next target level is 374 or you may keep in between it i.e. 371.5
Don't forget to keep trailing stoploss
RSI seems to be now favourable for upward movement.
As per my study "not going to reveal here". I expect huge volumes to be coming.
CMP 339.5 , expecting 346 max thereafter will remain in decline phase for further a week or so.
use SL as you deem fit.