HINDPETRO trade ideas
hpcl (hindustan petroleum)hello!! yeah this stock is again a very volatile stock can't say much about this too but yeah trendlines, supports and resistances are there for the reference one can trade according to them as if the side trendline will break then lower side can be taken and if upper resistance will be broken then up side can be seen
Hindustan Petrol from 17 July 2020The stock has come out of downtrend and pushing towards the upper range
Currently buyers exhaustion ( retracement ) can be seen --> MFI also started decreasing --> expecting price to come to red zone than continue its push to the 240 target range
Trade Setup :
When price comes down to 215 Level --> SELL PE option which has value of 5rs ( possibly 205,200)
MODERN SUPPORT?RESISTANCE
We have been explained day and night , that the SWING HIGH is the RESISTANCE , and the SWING LOW is the SUPPORT .
In the above example of HINDPETRO on 20 april 2020 a swing high is at the rate of 228.50
the same resistance was broken on 22 june 2020.
my point to explain is in this new ALGO trading world, how much such SWING HIGH and SWING LOW holds importance as support and resistance ,
this can give you areas , but in this new age of ALGO trading , computer do not understand any ZONE you create as S/R based on such areas any more.
ALGO understands a specific command , and specific rate , as soon the stock reaches that rate it does what ALGO is commanded to do .
at the swing high , the smart traders know that every single RETAIL buyers will be ready to BUY and that what it needs , VOLUME , participants to SELL .
and on 22nd june IT gave a breakout and maximum traders , technical annalist would start giving buy call , for tgt of next swing high , but what happen the next week followed . from 29th june the stock reversed i.e 242.10 to 204.05.
but had you known that the resistance is not the swing high but WEEKLY RESISTANCE was 248.25 and DAILY resistance was 244.05
one would avoid taking buy on those weekly breakout SWING HIGH AREAS .
I am not trying to say that it does not work , as OLD IS GOLD , but in age of ALGO one needs to upgrade oneself to new theory .
which gives you and edge , as every one knows each kind of patterns , name it FLAG, TRIANGLE , DESCENDING ,ASCENDING BREAKOUT , now the world is about ALGO and
the coders have fit every kind of traps for us to get trapped for their maximum benefits .
If you want to learn such dynamic levels and trading strategy , get in touch , yup it will be highly expensive , but yes every penny will be worth your time .
specially you can observe my trade setup which i will upload here.
I am not a SEBI registered analyst
all traders here will be for educational purpose only .
No loss/profit will be my concern
investment carry huge amount of risk , which can end of loosing part or full capital .
trade at your own risk.
Rsi DivergenceIn chart Rsi divergence pattern form , i.e. changing the trend, for intraday good for buy tgts- 217.2, 220.6 .
For long term, Buy above 217.45 and hold tgts 222.75, 229, 242.
HINDPETROGood long buildup seen along with increase in Cumulative Open Interest, trading above VWAP. It can be entered using 219 as sl for target of 225 and 229
Breakout trade in HPCL HPCL trading above its breakout also it is sustained above its 50,100,200 DMA. looking positive
HINDPETRO shortShort for the levels shown....this is where the price should exhaust the long run today....and R2 is a strong resistance
HINDPETROBullish engulfing pattern spotted on daily timeframe, can be a long for a target of 205 with sl of 188
Short Term SellWe see three moves after a massive down move. Hind Petro is probably in a complex correction or a simple correction . However in either case, the next move's probability is higher for a downward direction to retest the "A" level. Once at that level, we can look for clues as to where next. If this is a complex correction, we would see the final C up, else it will continue to move down making lower lows. So in the short term, a down move is anticipated.
** This is not a trade advice**
