Trading Setups For the Coming Week
Sharing Trading setups with Detailed Charts in both Cash & Derivative markets for the following week. Analysis strictly for educational purposes only. Please read the disclaimer at the end.
Good Morning Traders!
I feel very happy to be back from a 4 week hiatus owing to some personal commitments. Missed good setups? Worry not, here I am to the rescue once more! Lets jump straight into the markets.
Volatility has had everyone dancing to its tune, with VIX soaring into the 30s and the benchmark index fluctuating as much as 600 points in a day, and no, I’m not talking about Banknifty! The Nifty 50 index yet again ended on a grim note, closing at its lowest level in 7 months. Until the Russia-Ukraine conflict finds a way out of the woods, there is a hard chance of confidence coming back and volatility settling down.
Keeping this in mind, I have provided below risk-friendly setups with great Risk-Reward ratios. Read on to find what they are!
FnO Space
I have provided only a single setup compared to the usual norm of 2, reason being I didn’t find any other favourable risk-reward trade! A setup showing considerable weakness. Here it is below -
TATA MOTORS MARCH FUT (CMP - 416.8)
View - Has broken through multiple support zones. The counter is also trading below a host of important moving averages (20, 50 & 100 Day MA). Looks very weak.
Trade Setup - Breakdown
My View - Bearish
Breakout Retest Trades
While there is weakness around, there are a few stocks which are yet to board the bear-train, and are holding strong at their previous breakout stations! Such setups offer very good risk-reward trades and can be traded with conviction if the chart elements are favourably placed. Here are a few of them given below -
RAYMOND (CMP - 700.75)
Ducking the strong bearishness, this counter has shown resilience & is currently placed at a strong support base, with 20-Week MA not far below. Pullback has occurred on low volume as well.
Trade Setup - Pullback
My View - Cautiously Bullish
INFOBEAN TECH LTD (CMP - 610.05)
This counter gave a huge breakout this week itself, and closed near its breakout zone, doing so on lower volume as compared to the breakout volume. Looks ripe for a good pullback trade. Check the chart below!
Trade Setup - Pullback
My View - Cautiously Bullish
KITEX GARMENTS (CMP - 232.05)
Another counter showing strength through the turbulent waters, this counter even managed to make a bullish candle right near its previous breakout zone, taking support at the 20-Week MA in the process as well. High volume breakout, low volume pullback. Need I say more?
Trade Setup - Pullback
My View - Bullish
INDO RAMA SYNTHETICS (CMP - 65.65)
Very similar to the one above, this shows the same characteristics of a bullish candle at previous breakout zone & taking support at 20-Week MA. Exactly same volume characteristics as well. Check the chart below!
Trade Setup - Pullback
My View - Bullish
Support Zone Trades
These stocks are trading near important support zones, from which they can bounce and provide a good opportunity for a short swing trade. Providing good risk:reward ratios, these can be understood and executed very easily. Here they are below -
JINDAL POLY (CMP - 1020.25)
Currently placed at a solid support zone, it has also formed a bullish reversal candle while bouncing from its 50-Week MA. Looks pretty well set for a short & sweet swing. Check the chart below!
Trade Setup - Support / Swing
My View - Cautiously Bullish
UNITED SPIRITS (CMP - 825.20)
Another counter on its way to test a crucial support zone, this one is yet to show any bullish signs, so trade cautiously. It’s 50-Week MA is also not far off, being 70 points below. See the chart below and gauge it carefully!
Trade Setup - Support / Swing
My View - Wait & Watch
That’s it from my side for the coming week as far as trade setups are concerned. I will be back again next week with multiple setups as well! Please undertake appropriate risk management while taking every trade. Stay safe, & in markets too!
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Disclaimer - Charts, analysis and trading setups shared above are purely for educational & learning purposes & are not directly or indirectly any form of recommendation or advice. Please consult your financial advisor / carry out your own research before taking action in financial markets. Not SEBI Registered.
Excellent analysis ! keep up the good work