NF opened with in yesterday range and traded in 20 points almost half day.. BOF of RL happened.
Ignored long as space is very less, Took direct BO of RH/BRN... scratched at cost as not comfortable with the way it is chopping. Thought of attempting BPB of PDH, but PA not convincing.
BNF not in sync with Nifty. Moves are choppy.
Rose,
ReplyDeleteThis is my view regarding the question you asked URD.
HTF is trending up.Plan for the day is long for any setup and short for "A Grade" setups.
PDH is a good resistance (previous day last leg), so needed some good bear TRAP to break it. Consolidation is a good mean of TRAP.
On open till 12.30, bulls didn't attempt to break the opening range high (only tests). This is a long consolidation. Reading it as a bear TRAP. So many bulls are waiting to enter long above this range high (break out traders). If there was a breakout and failure above range high, then these bulls will get wiped out and bulls will definitely loose their strength.
So here, BO below any of prominent swing lows will be a bear TRAP which can fuel the bull run. Here the BOF occured below opening range low. If bulls can pick up this opportunity, there is a high probability that it may break PDH. Post BO of PDH should be watched carefully for a BO or BOF.
This is my way of reading the price. Hope this may help you with some food for thoughts :).
Dinil
Makes sense..
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