Market Analysis –
Overall structure – Downtrend/Bearish, although buying is happening at the lower levels, yet to reach the final targets of this down wave that has begun. Targets as per M pattern breakdown, descending triangle breakdown – 19235.
The market has clearly broken the M pattern and descending triangle support, took a retest at 19545 zone, and proceeded to break the previous swing low thereby confirming the downtrend.
Also Nifty has broken the long-running channel support.
Shorts –
When breaks PDL in a sharp move / consolidation move.
When price gets rejected from TL resistance/ 463-472 zone/PDC zone, sharp down move or consolidation move with setup confirmation.
Longs –
If price takes support at PDL , entry only after consolidation breakout, no sharp entries, if sharp moves, then ignore.
Resistance zones are marked in the chart. For support zones kindly refer
People who are not interested in depth probabilities and relevant trade actions list,please ignore the below.
In detail Probabilities -
The market opens gap down – within today’s low range –
Price may take support at today’s low and move to today’s close or till 19463-478 zone or trendline retest. Can look for long only if price consolidates, multiple times take support at the same zone before moving up.
Or
Price may consolidate and move down breaking today’s low. Can consider entry based on consolidation breakdown or even sharp down move breaking today’s low based on setup confirmation.
Or
Price may move up to fill the gap or even higher and the eventually come down, would prefer to trade shorts only based on setup confirmation at PDC/TL resistance zone/PDL.
The market opens flat --
Price may move up till max 19463-478 zone or trendline zone and come back again till today’s close and consolidate there before any further down move. Could probably look for short opportunities in the mentioned resistance zones – Can consider consolidation or even sharp down move with setup confirmation.
Or
Price may move down till today’s low and consolidate further before any further down move. Could probably look for short opportunities post price compression/consolidation when today’s low is broken.
Or
Price may move down and take support at today’s low and move to today’s close or till 19463-478 zone or trendline zone. Can look for long opportunities only based on Price action at the lowest range if it happens with a consolidation.
The market opens gap up --
Price may plausibly get sold off till today’s close and then consolidate and move down further. May be worth looking for short opportunities at least till today’s close and then further based on PA, sharp/ immediate entries also, based on any setup confirmation.
Happy trading!
Overall structure – Downtrend/Bearish, although buying is happening at the lower levels, yet to reach the final targets of this down wave that has begun. Targets as per M pattern breakdown, descending triangle breakdown – 19235.
The market has clearly broken the M pattern and descending triangle support, took a retest at 19545 zone, and proceeded to break the previous swing low thereby confirming the downtrend.
Also Nifty has broken the long-running channel support.
Shorts –
When breaks PDL in a sharp move / consolidation move.
When price gets rejected from TL resistance/ 463-472 zone/PDC zone, sharp down move or consolidation move with setup confirmation.
Longs –
If price takes support at PDL , entry only after consolidation breakout, no sharp entries, if sharp moves, then ignore.
Resistance zones are marked in the chart. For support zones kindly refer
People who are not interested in depth probabilities and relevant trade actions list,please ignore the below.
In detail Probabilities -
The market opens gap down – within today’s low range –
Price may take support at today’s low and move to today’s close or till 19463-478 zone or trendline retest. Can look for long only if price consolidates, multiple times take support at the same zone before moving up.
Or
Price may consolidate and move down breaking today’s low. Can consider entry based on consolidation breakdown or even sharp down move breaking today’s low based on setup confirmation.
Or
Price may move up to fill the gap or even higher and the eventually come down, would prefer to trade shorts only based on setup confirmation at PDC/TL resistance zone/PDL.
The market opens flat --
Price may move up till max 19463-478 zone or trendline zone and come back again till today’s close and consolidate there before any further down move. Could probably look for short opportunities in the mentioned resistance zones – Can consider consolidation or even sharp down move with setup confirmation.
Or
Price may move down till today’s low and consolidate further before any further down move. Could probably look for short opportunities post price compression/consolidation when today’s low is broken.
Or
Price may move down and take support at today’s low and move to today’s close or till 19463-478 zone or trendline zone. Can look for long opportunities only based on Price action at the lowest range if it happens with a consolidation.
The market opens gap up --
Price may plausibly get sold off till today’s close and then consolidate and move down further. May be worth looking for short opportunities at least till today’s close and then further based on PA, sharp/ immediate entries also, based on any setup confirmation.
Happy trading!
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