The chart shows a potential harmonic pattern (possibly a Bat or Gartley pattern) and the RSI (Relative Strength Index) indicator along with support and resistance levels.
Trade Setup Overview:
Harmonic Pattern:
The pattern is likely a Bat or Gartley, suggesting a potential reversal at point D.
Price has approached point D, indicating a possible entry for a long trade if there is a bounce.
Support and Resistance Levels:
Resistance Levels:
23,049.55
23,023.55
Support Levels:
22,860.60
22,816.05
Technical Indicators:
RSI:
The RSI is at 35.66, which is close to oversold levels (below 30). This suggests the possibility of a bounce if buying pressure increases.
Trade Plan:
Entry:
If the price holds above 22,917 (current price) or shows a bullish reversal pattern near support (22,860.60 or 22,816.05), consider taking a long position.
Target (TGT):
First Target: 22,950 (near point C).
Second Target: 23,023.55 (next resistance level).
Third Target: 23,049.55 (final resistance level).
Stop Loss:
Place a stop loss below the nearest support level. Consider two possible levels:
Conservative Stop Loss: Below 22,860.60.
Aggressive Stop Loss: Below 22,816.05.
Technical Outlook:
A bounce from point D would confirm the harmonic pattern’s validity and suggest a bullish move.
If the price breaks below the support zone (22,860.60), it could invalidate the bullish setup and indicate further downside potential.
Keep an eye on price action and volume for additional confirmation.
No comments:
Post a Comment