Trade on a pivot with Raghav 30/09/2021
Nifty established resistance for upside marked. Nifty should break 17780 to move out of the Previous day range after which one can keep 17780 (5/10 points 17770 depending on risk appetite) to stop loss and go long here for 17830 which is the next resistance and if that is broken then next 17895.. as it is Monthly Expiry please trade carefully.
Nifty Opening at 17718 now thinks where can it go and take support for you to enter long.. 17690/17683 is yesterdays range break out.. and range test after breaking the range.. so this level is a good buying opportunity on the long side. suppose if it goes up from the opening then I would wait until Nifty forms a new base or break yesterdays high.. say if Nifty goes down and instead of taking support breaks the previous level 17690/17683.. then we need to understand that there is still bearish sentiment and look to see if the price is going towards previous day low and takes support.
The way we need to read today's move is. since Morning Nifty was sided way and there was no direction however near S1 Camarilla Pivot market showed sign of reversal and then gave a pull back however it faced resistance near the previous day high and came down but sellers were not able to take it below days low/S3 camarilla pivot buyers bought here with a wick to wick engulfing candle and the follow-up candle sellers tried pushing the price below engulfing candle but buyers showed strength by forming a pin bar. (the second sign of buyers trying to take price up) then market spent some time side way and again came down but still sellers not able to take the price below the second low of the day (engulfing candle and pin bar).. here it formed inside bar which was also near the trend line showing a clear indication of price moving higher.. .. near high of the day watch the inside bar and market reversing. this is the simplest way of reading market. how do we know prices go up against other than the price action bar? add another trend line from today's high and it will form a triangle..and break out of this was a sign with price action candle to go up.
The most effective way of trading. some times it hits stoploss but that is okay. today the opening candle was a strong red candle and all we needed was a price action showing market will again sell in this zone.. watch the inside bar, if the bulls were strong fall would have halted near the marked support but as there was still negative sentiments in the market the support was broken and even more fall happened.