A strong Resistance one at 745 is marked red horizontal box in the chart. Recapping yesterday’s session, price had pierced the 745 zone and had moved higher by around 10-12 points. Incidentally, by the end price had retraced back and had fallen below the 745 Resistance zone. This morning a strong bearish candle opened the day. Please refer the 5-minute chart of Bharti Airtel below.
9:20 A.M. – A strong bearish candle hanging down from 745 Resistance zone. Meanwhile, Nifty opened below the lower band of downward channel. As of now, the outlook is bearish.
9:30 A.M. – Third 5-minute candle of Nifty 50 is a strong bullish candle. Nifty is starting to inch higher.
10:00 A.M. – Bharti Airtel scrip tests the 745 Resistance zone again. Possibly, a Triangle pattern is unfolding.
11:00 A.M. – A shooting star is coinciding with Resistance zone. Price breaks out of Triangle pattern for the first time. Bharti breaks above the Resistance zone and retraces back.
11:10 A.M. – Hammer appears on the screen. Mostly, novice traders’ stops will be erased.
11:15 A.M. – First opportunity to go long manifests.
12:05 P.M. – Price zooms higher to test Previous Day High. Incidentally, daily pivot ‘r1’ falls in coincidence with PDH.
13:10 P.M. – Bharti scrip makes a new high.
14:40 P.M. – Bharti scrip hits the current weekly pivot, ‘R2’. Generally, price gets attracted to nearby weekly pivots.
Nifty Price Action:
Nifty 50 opened Gap Down near the Previous Day Low and quickly retraced back to fill most of the morning gap. We can see a downward channel marked from higher time frame. Exactly at the lower band Nifty opened for the day. Nifty inched higher and higher all through the day. Nifty closed 0.50% higher for the day. Please refer the 5-minute chart below.
