About meEngineer + MBA Finance; Strong Fundamentals but new to technical analysis. Every weekend,I study some new trading concepts and publish analysis: Price Action, Elliot Waves, Hidden Divergences & Fib Retracement (theme of this weekend). Harmonics next!
The rise of SBIN from 177.15 to 202.5 and the subsequent fall to 191.65 (so far) fits the Elliot waves perfectly as can be seen on the chart.
Positional Trades for Tomorrow:
Idea 1: The correctional waves are done at 191.65! So Go Long above 193.3 for 195.8, 198, 202, 206.5 with SL at 192.
195.8 is a key Resistance/Support (Check linked idea!). So Trail SL...
Long above 195.5 for 197, 198, 200 with SL at 194
Short below 194 for 193, 192, 191 & 190 with SL at 195
Smaller movements anticipated due to side-ways undecided movement on NIFTY over last week.
Lower greed & Stay in green would be my strategy for today.
LT saw a long term support line getting breached today after 6 consecutive bearish sessions.
It closed just above the support at 930 and is at a crucial level.
If it breaches 930 (closes below on the 5 minute candle) with NIFTY bearish: Short for 910 with SL at 945.
Take long positions only above 945.
Scalp in between.
The shorting idea won't hold true for...
The stock is trading handsomely in the price action value area with a value price of 945.
We saw a bullish breakout move towards 970 yesterday only to dramatically reverse.
Intraday ideas for Friday:
Buy above 950 for 955, 960, 970, 980 with SL at 940
Short below 938 for 930 with SL at 945
I would prefer taking long trades only myself due to another linked idea...
Having gone past 200, I expect a slightly gap up opening tomorrow (around 201-202)
Let it stabilise:
202 is the next resistance so watch for it to close above 202 (you will need to scroll to the left to see why)
Above 202, if it sustains and if BankNifty sustains above 23000 - We should get nearer to 207
As for why please refer the linked idea.
Everything on Chart !
Just my own reasoning behind holding the bullish view despite that steep fall.
Let's find out what happens tomorrow!
One thing is sure - Be ready for another day of large movements!
Please leave your comments on what you think.
Thanks for the lovely feedback - as long as Work From Home continues, I'll keep posting ideas here and updating them.
The stock finally completed its retracement to 0.618 levels today
Some consolidation may happen here - depending on how NIFTY behaves.
Buy above the high of today, 118.2 for 120 as the immediate target.
118.2 should then function as support for rally to 130 & beyond with some consolidation happening around it.
SBIN closed just below the support at 188 after testing it for greater parts of the trading session today.
BANK NIFTY also closed higher than previous weeks but could not break the resistance, which is why the stock's upward movement was arrested.
The overall view is bullish with Elliot Triangle wave pattern for a bullish market as shown on chart.
ONGC has set up a value area last week between the 0.786 and 0.618 Fib Retracement levels with a value price of 84.
The stock made a doji inside the lower part of the value area on Friday which was in line with overall NIFTY movement.
Go Long above 84 for 86
Short below 80.5 for 78, 77, 76
Scalp between 81 and 84 levels
Don't take positional...
The stock made bearish engulfing pattern from the 0.786 levels and seems bearish to retrace to the stronger 0.618 level of 265.
Choose an entry position based on your risk appetite.
Strategy 1: 'High-er' Risk & High RRR
In-case of normal or gap-up opening, Short for 270, 267, & 265 with SL at 278.
(Can wait for any small uptrend with the risk of losing out on...
Buy above 1015 for 1025, 35, 50
Sell below 990 for 975 and 960.
In case of gap-up openings above 1010 levels, do not initiate long trades without verifying the up-trend and breakout.
Similarly in case of gap down below 1000, do not initiate short trades.
Federal bank has taken support from the trend line shown and is sitting almost on it now.
The stock is showing a hint of bearish divergence which has been confirmed with the 2 downward movements on Thursday and Friday. It could very well have served the function of consolidation for large volume buying happening during the uptrend.
52 is a key level to watch for...
LT is back in the price action value area as I had discussed in one of the earlier posts.
It has also taken support from the trend line as indicated in another post and the sentiment remains bullish for it to cross 1000.
The ban on Chinese firms in different infrastructure sectors should definitely help the move up.
The stock closed the week at its value price of...