Apollo Tyres Ltd. (APOLLOTYRE) Breakout StrategyThe chart is a daily candlestick chart of Apollo Tyres Ltd. (APOLLOTYRE) on the NSE, with the current price at INR 393.00. The chart shows a symmetrical triangle pattern, indicating potential price consolidation before a breakout.
Key Observations:
1. Current Price and Trend:
- The current price is INR 393.00, showing a slight increase of 2.26%.
- The price is consolidating within a symmetrical triangle pattern.
2. Support and Resistance Levels:
- Immediate resistance is around INR 483.45.
- Support levels are marked at INR 453.40 and lower at INR 440.00.
- Upper resistance target is at INR 553.15.
- Intermediate resistance target is around INR 508.45.
3. Symmetrical Triangle Pattern:
- The pattern indicates a period of consolidation with converging trend lines.
- This pattern typically precedes a breakout in either direction.
4. Trade Strategies:
- Bullish Scenario:
- If the price breaks above the upper trend line of the triangle, it could signal a bullish breakout.
- Potential targets after a breakout are INR 508.45 and INR 553.15.
- A breakout above INR 483.45 could be a buy signal, with targets at INR 508.45 and INR 553.15.
- Bearish Scenario:
- If the price breaks below the lower trend line of the triangle, it could signal a bearish breakdown.
- Potential downside targets could be INR 453.40 and INR 440.00.
- A break below INR 453.40 could be a sell signal, with a lower target at INR 440.00.
Summary:
The chart of Apollo Tyres Ltd. is showing a symmetrical triangle pattern, indicating potential consolidation before a breakout. Traders should watch for a breakout above INR 483.45 for a bullish move with targets at INR 508.45 and INR 553.15. Conversely, a breakdown below INR 453.40 could signal a bearish move with a target at INR 440.00. The current price action suggests indecision, and traders should wait for a clear breakout or breakdown before taking positions.
