DLF trade ideas
DLFTrade Setup:
Stock making a round bottom. EMA's slopping upwards.
Weekly: Crossed 10 year resistance. Took support on trend line (thick pink line). Broke trendline (thin line), retest done, and bounced again.
Entry = 319.80 INR
SL = below 268 INR (on weekly closing basis)
Target = 393 INR (T1) and 453 INR ie; Fib levels (T2) and 493 INR (T3).
For T2, T3, patience is needed.
RR = 1.45 (with T1 consideration)
Divergence Trade 2: Long DLFDLF is taking support alongwith mild divergences shown by all the three RSIDIV. Long position can be taken.
CMP; 335
SL: 329
Target: 345.
Also we can take PE bull spread by selling PE 335 at 11.2
and buying 320 PE for approx : Rs 5
Max profit 15 K and profitable above 330. Max loss 30K. Though risk reward ratio looks odd, we will benefit even if DLF doesn't move at all.
DLF Cup and handle breakout and retest Dlf is looking for a swing , a swing trade can be initiated once the price gives closing above the resistance trendline .
On a daily time frame the stock has formed a cup and handle pattern and given a breakout from 0.5 Fib levels , now it has corrected and retested after the breakout .
so once it gives a breakout from this trendline it may give a good move upto the given levels .
Also on 1 hour time frame it has formed a double bottom .
I'm a beginner , I'm just sharing my views.