We know that BankNifty is in uptrend so pullbacks are like buying opportunity. But where to buy in pullbacks. Here is one possible scenario. There might be an ABC type pullback which takes it below an important swing low. Many stop would have hit here so price may fall sharply. If you notice a sharp pull back from here, it would be sign of strength. Means buyer are buying the low and trying to fake the breakdown. You may enter your longs in the "Sweet Buy Zone" shown in the chart, with your stop below the lows and target at least up to previous highs.
At present these moves are quite imaginary so be careful and make your decisions as the price action unfolds.
The post is for educational purpose only..play safe.
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Set up is valid for today only.
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However, it can be generally applied anywhere.
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So far so good.
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Just keep in mind that at present we have no idea how far this correction might go. Lines on the right are just for demonstration purpose.