BankNifty Analysis for 22-JUL-2021

2021年7月21日

Two-Day CPR Relationship:

Lower Value CPR Relationship (Descending CPR) and Lower Value Camerilla3 (Descending DC3)

Initial Bias: Bearish

Plan A1 (Moderately Bearish) : If Opening/5-Min Candle opens between CPR (34485-34625) and S1 (34218), Wait for a pull back to CPR and Take a short Entry upon Bearish Candle Confirmations. Target can be S1 or between 50% of S1 and S2.
Plan A2 (Extreme Bearish): If Opening/5-Min Candle (Bearish) closes below S1 (34218), Take Short entry upon the break of First 5 min's candle Low. One can place a SHORT STOP LOSS Order if the first 5 min candle closes below S1 and there is a consolidation happening around S1. Railway Track Pattern (RTP) works very well in this case.
Plan A3 (Moderately Bearish): If first 5-Min candle closes above CPR, then Price may take Resistance at R1(34756) and continue it's down-ward move. Observe Candlestick formation and take SHORT Entry upon Bearish Candle Confirmation.
Plan B1 (Moderately Bullish): If first 5-Min candle closes above CPR and Break R1 (34756) decisively, then reduce trading capital to 50% and take a LONG entry based on the Candle confirmation. Can apply RTP Technique.
Plan B2 (Extreme Bullish): Candle opens/First 5-Min Candle above R1 (34756) with a GAP-UP, Price may take support at R1(34756)/CPR/PDC/PDH and move it's upward journey.

Strategies to be deployed:
- Open Drive (Bearish)
- Pivot Pressure Trade - PPT (Bearish/Bullish)
- Red Candle Break Out (RCBO) - Bullish