Key Observations:
Price Action Context:
The stock is currently trading at ₹5,306, showing a strong +2.78% intraday move.
This price action is occurring within what appears to be an extended retracement zone of the prior swing, suggesting a possible consolidation before continuation.
Wave Analysis (Elliott Wave Perspective):
Wave C appears to have completed in the ₹3,234 – ₹5,464 zone, which is typically where corrective waves terminate before a new impulsive move begins.
The current structure hints at a bullish Wave 5 extension, with a projected completion zone between ₹5,104 – ₹5,229.
Key Levels:
Support (Demand Zone): ₹5,104 – ₹5,229
Resistance (Profit Targets): ₹6,032 (initial) → ₹6,222 (extended)
Invalidation Level: Daily close below ₹5,104
Why This Setup Matters:
Legalarity Concept (Consolidation Before Breakout):
The stock is forming a legalarity structure, which refers to a period of sideways price action after a strong trend.
This often precedes a continuation move if support holds.
Momentum Confirmation:
Today’s bullish candle (+2.78%) suggests buying interest near the support zone.
A decisive break above ₹5,464 (Wave C high) could confirm the next leg up.
Risk Management:
Since no trade setup is perfect, we must define where we’re wrong.
If price closes below ₹5,104, the bullish structure weakens, and traders should reconsider.
Trade Plan (Educational Breakdown):
Entry Logic:
Aggressive Entry: Near current levels (₹5,300 – ₹5,400) with tight stops.
Conservative Entry: Wait for a pullback to ₹5,104 – ₹5,229 support zone.
Profit Targets:
First Target (₹6,032): Partial profit booking level.
Second Target (₹6,222): Extended swing high, where resistance may appear.
Stop Loss:
Daily close below ₹5,104 (invalidates the bullish structure).
Risk-Reward Assessment:
If entering at ₹5,300 with a stop at ₹5,100:
Risk = ₹200 per share
Reward (to ₹6,222) = ₹922 per share
Risk-Reward Ratio = ~1:4.6 (Favorable for swing trades)
Seasonal & Macro Factors:
Historical Trends: The stock has shown strength in Sep-Dec (year-end rally tendencies).
Current Market Sentiment: A breakout above ₹5,464 could attract momentum buyers.
Educational Takeaways:
✅ Always define support/resistance before trading.
✅ Use invalidation levels to manage risk.
✅ Wave analysis helps anticipate where trends may resume.
✅ Risk-reward should justify every trade.
Disclaimer: This is educational content, not financial advice. Do your own analysis.
#NSE #PERSISTENT #TechnicalAnalysis #SwingTrading #StockMarket
How to Use This Analysis:
Watch for confirmation above ₹5,464 for higher conviction.
Adjust position size based on your risk tolerance.
Track price action near targets for exit signals.
Price Action Context:
The stock is currently trading at ₹5,306, showing a strong +2.78% intraday move.
This price action is occurring within what appears to be an extended retracement zone of the prior swing, suggesting a possible consolidation before continuation.
Wave Analysis (Elliott Wave Perspective):
Wave C appears to have completed in the ₹3,234 – ₹5,464 zone, which is typically where corrective waves terminate before a new impulsive move begins.
The current structure hints at a bullish Wave 5 extension, with a projected completion zone between ₹5,104 – ₹5,229.
Key Levels:
Support (Demand Zone): ₹5,104 – ₹5,229
Resistance (Profit Targets): ₹6,032 (initial) → ₹6,222 (extended)
Invalidation Level: Daily close below ₹5,104
Why This Setup Matters:
Legalarity Concept (Consolidation Before Breakout):
The stock is forming a legalarity structure, which refers to a period of sideways price action after a strong trend.
This often precedes a continuation move if support holds.
Momentum Confirmation:
Today’s bullish candle (+2.78%) suggests buying interest near the support zone.
A decisive break above ₹5,464 (Wave C high) could confirm the next leg up.
Risk Management:
Since no trade setup is perfect, we must define where we’re wrong.
If price closes below ₹5,104, the bullish structure weakens, and traders should reconsider.
Trade Plan (Educational Breakdown):
Entry Logic:
Aggressive Entry: Near current levels (₹5,300 – ₹5,400) with tight stops.
Conservative Entry: Wait for a pullback to ₹5,104 – ₹5,229 support zone.
Profit Targets:
First Target (₹6,032): Partial profit booking level.
Second Target (₹6,222): Extended swing high, where resistance may appear.
Stop Loss:
Daily close below ₹5,104 (invalidates the bullish structure).
Risk-Reward Assessment:
If entering at ₹5,300 with a stop at ₹5,100:
Risk = ₹200 per share
Reward (to ₹6,222) = ₹922 per share
Risk-Reward Ratio = ~1:4.6 (Favorable for swing trades)
Seasonal & Macro Factors:
Historical Trends: The stock has shown strength in Sep-Dec (year-end rally tendencies).
Current Market Sentiment: A breakout above ₹5,464 could attract momentum buyers.
Educational Takeaways:
✅ Always define support/resistance before trading.
✅ Use invalidation levels to manage risk.
✅ Wave analysis helps anticipate where trends may resume.
✅ Risk-reward should justify every trade.
Disclaimer: This is educational content, not financial advice. Do your own analysis.
#NSE #PERSISTENT #TechnicalAnalysis #SwingTrading #StockMarket
How to Use This Analysis:
Watch for confirmation above ₹5,464 for higher conviction.
Adjust position size based on your risk tolerance.
Track price action near targets for exit signals.
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.