M&M finance Observation

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Swing Trade 

Lets Look at the M&M finance and try to analyze its behavior. We will apply here Top -Down means we are going to analyze from higher time frame to lower time frame.

1 Month Time frame


Look at this 1 months chart. Here we can see that there was 3 wave pattern which was ended by making the TOP of  224.30 after that stock went into correction mode and came near to the low 149.60 but did not break it and start turning up. 

Weekly Time Frame


Now move to one time frame lower and try to analyze weekly time frame what it is doing. Here we can see a beautiful compression pattern that means if you will see back you will find that it took him 2 weekly candle a fast move to make that high of 224.30 with good volume. But when price came back to the same level volume was drying and took more than 10 candle to cover full move. And now it is making support at 40 RSI. and also 50 SMA. Which is a good sign.

Daily Time Frame


Now move to one day time frame.  Here we can see stock gave a good consolidated break out from the zone with the signature of volume. 

Entry : Above 163
Target : Around 180-186 (Resistance Level)
Stop Loss : 150
Risk to Reward. 1.5




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