Key Levels:
Order Block (OB): ₹980 to ₹1,011
This is the zone where buyers previously stepped in and the price has reversed from it. It serves as a demand zone or a strong support area.
Liquidity Zone:
Below the OB, liquidity was grabbed, suggesting that weak hands might have exited, and stronger players have entered.
Resistance/Target: ₹1,141.75
This is the target drawn on the chart, likely based on previous highs.
Current Price: ₹992.10
Observations:
Bullish Structure: Price has bounced from the OB and the liquidity grab zone, indicating a potential bullish reversal. The bounce suggests that institutional buying may have occurred.
Break of Structure (BOS): If the price clears ₹1,011 (the top of the OB zone), it would confirm a bullish break and increase the likelihood of an upward continuation toward the ₹1,141 target.
Upside Potential: The marked target of ₹1,141.75 offers an upside potential of approximately 16.6% from the current price level.
Swing Trade Setup:
Entry:
Aggressive Entry: Around current levels (₹990–₹1,000), given the bounce from the liquidity zone.
Conservative Entry:
Upon the price breaking and holding above ₹1,011 (the top of the OB), indicating more confirmation of bullish momentum.
Targets:
First Target: ₹1,060 (interim resistance level).
Final Target: ₹1,141.75 (as per your chart's target level).
Stop-Loss:
Below ₹980 (to avoid being caught in another liquidity sweep).
Ideal stop-loss could be placed around ₹970 for a safer risk management setup.
Risk-to-Reward Ratio:
If entering at ₹1,000 with a stop-loss at ₹970 and a target of ₹1,141.75, the Risk-to-Reward would be approximately 1:5, which is a
favorable trade setup.
Strategy:
Hold Position: If the price consolidates within the OB zone, hold as long as it stays above ₹980.
Exit or Reassess: If the price drops below ₹970, consider exiting the position to limit losses.
This setup presents a strong opportunity, with good risk management and high potential for gains.