Intraday Trending Setup - Trend Reversal

Nifty 15-12-2022 trade setup analysis - 

1. In 5 minutes chart, the trend is upward with a higher high pattern. The next day market opens Gap up and consolidates in a tight range of 63 points or 0.35%.

1.1 - Step up CPR and take support at R1 in the first half of the session. In the second half price shows some weakness and close near day lows.

2. Next day price opens Gap Down and shows some weakness in the first two candles and the second candle is a shooting star. The third candle shows rejection with volume and confirmation of bearish movement.

2.1 - Narrow CPR and falling RTP patterns are formed in the first few minutes. The third candle rejects S1 and PDL. It is the perfect entry signal for short entry and the target is S2 and S3. On such days short every 20 EMA rejection candles throughout the day with a high of a prior candle as SL.

3. Even if the price consolidates at a higher level but full-day Call writing happens more than Put writing on 14-12-2022. It means bulls are no longer confident of the price moving higher.

LEARNING - Seek for such days and confirm price action with data in real-time. It offers the best risk and rewards opportunities.