RELIANCE : BET ON FNO AND SWING
Updated
Technical Analysis of Reliance Industries on 1-Hour Chart
By following this plan, traders can align with price structure, optimize risk-to-reward, and trade effectively.
- Overview of the Chart
The chart represents Reliance Industries on the 1-hour timeframe, highlighting key concepts such as CHoCH (Change of Character), demand zones, and the golden retracement zone.
Tools Used:Price Action: Key highs/lows, retracement zones.
Demand Zones: Mitigated demand areas.
Golden Retracement Zone: Optimal entry for Wave B based on Fibonacci levels.
Swing Target: Projected target for Wave C. - Key Levels and Concepts ExplainedExtended Retracement Zone (Deep Retracement): ₹1,261.20 – ₹1,252.70
This zone marks a potential support area for buyers after a correction in Wave A to B.
Buying Tip: Look for reversal signs in this zone.
Stop Loss: Below ₹1,252.70 to manage risk effectively.
Golden Retracement Zone (Wave B): ₹1,241.30 – ₹1,261.20
Located at the 61.8% Fibonacci retracement level, a high-probability area for a reversal upward.
Buying Strategy:
Enter within this zone if price shows bullish signs like engulfing patterns or pin bars.
Stop Loss: Just below ₹1,241.30.
Target: Swing high at ₹1,341 – ₹1,354 (Wave C).
CHoCH Zones:
Failed CHoCH: Price rejected near ₹1,273.75 and corrected lower.
Demand Zone: Strong demand needs to emerge at ₹1,261.20 for a reversal upward.
Tip: Look for bullish confirmation near demand zones or the golden retracement.
Swing Target Zone: ₹1,341 – ₹1,354
Represents the projected target for Wave C if the retracement zone holds.
Partial Profit Tip: Book profits near ₹1,341 – ₹1,354 and trail stops for further upside. - Stop Loss StrategyStop Loss on Failure: Below ₹1,241.30.
If price closes below this level, the bullish setup is invalid, and traders should exit to limit losses.
[]Buying Tips at Key Levels[]Primary Buy Zone: ₹1,241.30 – ₹1,261.20 (Golden Retracement)
Look for bullish confirmation like pin bars, engulfing candles.
Stop Loss: Below ₹1,241.30.
Target: ₹1,341 – ₹1,354.
Aggressive Buy Option: ₹1,261.20
Scale into positions near mitigated demand with tight stop losses. - Key ObservationsWave Structure: Price is in Wave B (corrective phase), aiming for an upward Wave C.
Demand Zone: Buyer defense at the golden retracement confirms bullish outlook.
Risk Management: Always use stop losses to avoid significant drawdowns. - Summary of Key LevelsKey LevelsActions
₹1,241.30 – ₹1,261.20 Buy Zone (Golden Retracement)
Below ₹1,241.30 Stop Loss
₹1,341 – ₹1,354 Swing Target Zone
By following this plan, traders can align with price structure, optimize risk-to-reward, and trade effectively.
Trade closed: stop reached
Stop loss triggered in Reliance, but it can be buy again near 1188-1179 (wave C completion zone on larger time frame
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