*NIFTY 50 JUNE MONTHLY INDEX CLOSED AT 10302.10*
SHARING WITH YOU MY WORKING ON TECHNICAL PATTERN.
1. Three Red Lines indicate the expected support or in simple words accumulation zone (9030 / 8675 / 8160) for the Index.
2. Strongly highlighted in yellow box as Heavy Distribution Zone between 10585 - 11171 (one can treat in near term as overbought zone)
Overall trading plan:
Nifty at current market price is trading very close to reistance or at the edge of entering into the supply zone. As the volatility of correction was too high therefore the oversold zone appears within 700 points.
With regards to RRR (Risk Reward Ratio) I will find opportunities to short sell Nifty within the yellow box range with strict stoploss of 11171 or otherwise I will wait to start buying only if the index is trading near the red support lines.
Disclaimer: Kindly consult your investment advisor before trading as this chart pattern shall be used only for educational purpose only.