Adani Power - Symmetrical Triangle on Daily Chart

2021年5月19日

Adani Power is in an uptrend. The counter went into the consolidation after 25th March 2021. This almost 2 month long consolidation is characterised by a downward sloping resistance line and upward sloping support line forming a symmetrical triangle. The price gave an upward breakout to the resistance line on the daily candle of 18th May 2021 and closed at the level of Rs.101.90. This breakout is supported by huge volume. I anticipate the price target of Rs. 128 and suggest the stop loss at Rs.98 to be followed for the first 4 daily candles starting from 19th May 2021. The risk/reward ratio more than 1:6. Thereafter, the profit booking/ exit decision should be based on achievement of the price target or downward crossover of 26 EMA by 5 EMA whichever is earlier.
NOTE: This idea is an attempt to predict the future price movement. Investment based on this idea, if any, shall be solely at the risk of the investor.