Short to LongIDEA has expanded to a significant area of price defined as a volume imbalance. We had a good reaction. I believe we will sell into the marked bullish volume imbalance. I am still cautious of longs because the lows of the chop have bee retained. If this drive higher had been after taking the eqwl lows marked it would have been an excellent buy.
IDEA trade ideas
#IDEA long trade setup intraday (09/05/24)Greetings Folks,
today I have prepared a setup of
NSE:IDEA on NSE
the analysis is as follows-
- marked an important support zone in higher timeframe
- price tapped in it and respected the support zone
- in lower timeframe , there is a ranged structure
speculating that nifty might move in up direction, we can plan a small counter trade
don't play with fire, always use a predefined stoploss
Idea coul be turned multibagger and become 59 in Few yearsIt's important to approach risky trades with caution and thorough analysis. Here's a recommendation for Vodafone Idea considering your specified parameters:
**Recommendation: Vodafone Idea**
- **Entry Price:** Current Market Price (CMP)
- **Stop-loss (SL):** Below 10
- **Targets:** 30, 59, and 72
**Reasoning:**
1. **FPO Launch:** Vodafone Idea's Follow-on Public Offering (FPO) could potentially attract investor interest and lead to short-term price movements.
2. **Potential Multibagger:** If the FPO is successful and positively impacts the company's financials and market sentiment, there might be a possibility of substantial price appreciation (multibagger potential).
**Risk Factors to Consider:**
1. **Volatility:** Vodafone Idea stock has historically shown high volatility, so it's crucial to be prepared for rapid price fluctuations.
2. **Company Performance:** Assess the company's financial health, debt levels, market position, and regulatory environment before making investment decisions.
3. **Market Conditions:** Consider broader market trends, sectoral performance, and geopolitical factors that could influence the telecom industry and Vodafone Idea specifically.
4. **Liquidity:** Note that stocks with low prices (below 10) can have lower liquidity and higher bid-ask spreads, impacting trade execution.
**Trade Strategy:**
- **Entry:** Enter the trade at or near the current market price (CMP).
- **Stop-loss (SL):** Set a stop-loss below 10 to limit potential losses in case the trade goes against expectations.
- **Targets:** Consider staggered profit-taking at targets of 30, 59, and 72. This allows for locking in profits at different price levels as the trade progresses.
**Final Note:**
Risky trades, especially in volatile stocks like Vodafone Idea, require diligent monitoring, risk management, and continuous evaluation of market dynamics. Consider consulting with a financial advisor or conducting further research before executing the trade.
VODAFONE IDEA ANALYSIS , ENTRY , TARGETVodafone Idea Limited, a prominent player in the telecommunications industry, has seen dynamic movements in its stock price, prompting market participants to establish specific trading strategies. In this case, a stop-loss level of 15.75 has been set, indicating a predefined point at which traders are willing to limit potential losses. This stop-loss level is a crucial component of risk management, helping investors protect their capital in the event of adverse market movements.
On the other hand, the target price for this trade has been set at 20.80, reflecting the anticipated upward movement in the stock. The target serves as a profit objective, indicating the desired price level at which traders plan to sell and secure gains. Investors may establish such targets based on technical analysis, fundamental factors, or a combination of both.
It's important for investors to consider the broader market conditions, industry trends, and company-specific news and events that could impact Vodafone Idea's stock. Market sentiment, regulatory developments, and financial performance are among the factors that may influence the stock's trajectory.
It's crucial for investors to stay informed and monitor the stock closely, adjusting their strategy as new information becomes available. Additionally, they should be aware that investing in stocks involves inherent risks, and past performance is not indicative of future results. Before making any investment decisions, it's advisable to conduct thorough research or consult with financial professionals.
This is for educational purpose only.
Idea about IDEA !?!Ever since Vodafone IDEA made headlines breaking out of the 20% circuit limit to 25% - there has been Rumors & Speculations on different lines
a) Govt converting their debt into Equity
b) Govt Planning to sell stake to Elon Musk's Starlink
c) Amazon, Verizon in talks with Idea for potential takeover
d) Idea declining the above speculations....
We need to understand one thing - "NEWS" is usually Hyped, Sudden, aimed at creating a situation of FOMO (Buy) or Panic Selling . The Power of News 99% of times is very short-lived unless and until its an authentic news that the company has officially declared itself as Bankrupt.
So How do we Trade such Stocks:
Positive or Negative - whatever be the News - we always have to review the Charts to look at the Immediate Supports & Resistances. Yes - sometimes, a News is so powerful and Hyped that it might demolish one or more Support or Resistances, but that's all. After that, the Support and Resistances take the opposite side and starts to show their magic.
In the case of IDEA - On Monthly Chart - there was a Candle Body level Resistance at 16.1 and Wick level Resistance at 16.9. At the end of the day - the Price could not break 16.1 - though it just formed a small wick above - the price ended just lower
Dynamics for Tuesday:
a) 16.1 resistance is still Alive
b) Vodafone IDEA - denied all speculations - so 99.99% buyers will give up
c) At 16.1 the price has formed a Rounding Bottom Pattern but BO failed
d) So next likely pattern is Cup & Handle - How far can the Handle come down ???? 12.15 is the next major support and also 0.382 on FIB Retracement scale
Beware of SL Hunting:
a) Now if the above message is undeniable and everyone will go on Sell side - how will Operators & Big players make money ???? - SL Hunting
b) I expect the a Gap up / sudden big GREEN Candle to start on Tuesday - Luring retailers to Go Long - may be until 16.9 and there will be a Sudden Crash - gobbling all our SLs
Be Aware....Be Prepared...."Learn to Ride the Tide - Irrespective of its Side"....
- Team Stocks-n-Trends
IDEA looks bullishIDEA (Vodafone IDEA Ltd.) looks bullish on a weekly and monthly time frame as they are above 60. It has been corrected in the last few sessions. The only concern here is that volume increased during correction.
The RSI on a daily time frame is near 45. The RSI now (46.52) and the previous (43.65) swing low (10.65) are almost the same. This term is known as "Positive Reverse Divergence". The price is making a higher high, and RSI is making a lower low.
The RSI is taking support at 45 levels, and at the same time, price action shows the same (taking support at 12.50). If the price drops below 11.50, it may become weak.
If the price takes support at 12.60 - 12.50, which is the neckline of the cup pattern, it would be a good opportunity to enter the trade. If we clone the cup depth on the upside from the neckline, that would be our target (19.55). One can achieve a 1:3.5 risk-to-reward ratio. It may go up to 20.55 levels, the next resistance level.