ALKYLAMINE : Set for a Chemical Reaction?Technical Analysis of Alkyl Amines Chemical Ltd. (NSE: ALKYLAMINE)
Chart Description
The daily candlestick chart for Alkyl Amines Chemical Ltd. (ALKYLAMINE) on NSE highlights price movements over the past year. The current price is ₹1,998.85 , showing a significant market move. Key technical elements such as Elliott Wave counts, retracement levels, and trend lines provide a comprehensive outlook for potential price action.
Key Levels and Zones
Deep Retracement Zone (₹1,840.65 - ₹1,838.95):
Critical retracement aligning with Fibonacci 113%-127% of the last swing low. The price has touched this zone, signaling potential support and reversal.
Golden Retracement Zone (Smaller Time Frame, 50%-70%):
Significant retracement level for short-term reversals, identified on a smaller time frame.
Liquidity and Demand Zones:
Zones of liquidity buildup that suggest potential areas of high trading activity, often resulting in notable price movements.
Target Zones:
First Target Zone: ₹2,315 - ₹2,368
Second Target Zone: ₹2,574.10 - ₹2,657.30
Target areas are identified based on historical movements and Elliott Wave projections.
Trading Plan
Entry Points:
Primary Entry: Enter near the deep retracement zone ( ₹1,840.65 - ₹1,838.95 ) upon confirmation of support and reversal signals.
Secondary Entry: Consider entry near the golden retracement zone on a smaller time frame if reversal signals appear.
Stop Loss:
Place a stop loss at ₹1,825 to manage risk if the price falls below the deep retracement zone.
Target Levels:
First Target: ₹2,315 - ₹2,368
Final Target: ₹2,574.10 - ₹2,657.30
Risk Management:
Monitor liquidity and demand zones closely.
Exit the position if the price fails to break above these zones.
Adjust stop loss and targets dynamically based on market conditions.
Prediction
The price is expected to move upwards if it sustains above the deep retracement and liquidity zones, targeting ₹2,315 - ₹2,368 initially, with further potential toward ₹2,574.10 - ₹2,657.30 . A failure to hold these levels could lead to downside pressure.
Educational Insights
Elliott Wave Analysis: Wave counts provide insights into market cycles and trends.
Fibonacci Retracement: Essential for identifying critical support and resistance zones.
Liquidity Zones: High activity areas often precede significant price movements.
Risk Management: Proper stop losses and dynamic targets are vital for effective risk/reward.
Disclaimer: Trading involves risks. Conduct thorough research or consult a financial advisor before making any decisions. 📊✨
