The Setup (Bias): I am taking a LONG bias on Indian Metals & Ferro Alloys Ltd. (IMFA) on the daily timeframe.
The "Why" (Technical Reasons): 1. Perfect Break & Retest: The price recently broke out above the major structural resistance level at 1504.85. Instead of chasing the initial pump, we waited for the structure to develop. The price pulled back and perfectly retested this 1504.85 level, validating that the old resistance ceiling has officially flipped into a solid support floor.
2. Bullish Continuation: Following the retest, we are now seeing strong bullish follow-through. The current daily candle is pushing aggressively higher, confirming that buyers are heavily defending this new support zone and are ready to drive the next leg up.
Trade Plan (Entry & Exits): * Entry: Momentum traders can look for entries near the current market price of 1631.90 to capture the confirmed continuation.
Take Profit (Target): With the structure confirmed and the stock pushing into fresh local highs, the next major psychological targets are the 1750.00 level, followed by 1800.00.
Stop Loss: Placed safely below the recent retest swing low, around the 1460.00 level. A daily close back below the 1504.85 structural level would indicate a failed retest and invalidate the immediate bullish setup.
Duration: Because this analysis is built on a 1D (Daily) chart capturing a continuation setup, this is a short-to-medium-term swing trade designed to play out over the coming days to weeks.
The "Why" (Technical Reasons): 1. Perfect Break & Retest: The price recently broke out above the major structural resistance level at 1504.85. Instead of chasing the initial pump, we waited for the structure to develop. The price pulled back and perfectly retested this 1504.85 level, validating that the old resistance ceiling has officially flipped into a solid support floor.
2. Bullish Continuation: Following the retest, we are now seeing strong bullish follow-through. The current daily candle is pushing aggressively higher, confirming that buyers are heavily defending this new support zone and are ready to drive the next leg up.
Trade Plan (Entry & Exits): * Entry: Momentum traders can look for entries near the current market price of 1631.90 to capture the confirmed continuation.
Take Profit (Target): With the structure confirmed and the stock pushing into fresh local highs, the next major psychological targets are the 1750.00 level, followed by 1800.00.
Stop Loss: Placed safely below the recent retest swing low, around the 1460.00 level. A daily close back below the 1504.85 structural level would indicate a failed retest and invalidate the immediate bullish setup.
Duration: Because this analysis is built on a 1D (Daily) chart capturing a continuation setup, this is a short-to-medium-term swing trade designed to play out over the coming days to weeks.
Trade active
Consolidating near the support/breakout zone.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.