Sectoral Analysis in the beginning of the month

٢ أغسطس

We use our Customised Indicator called ECG to mark the most important support and resistance zones for the price in the respective time frame. Here we have plotted the index charts on day time frame which gives us the levels for positional trades which are valid for the whole month of August 2024.. Now the yellow colour lines form a zone which makes the home of the price.. Upper yellow line is the breakout line and the lower yellow line is the breakdown line. So if the price gives a valid crossover above the breakout then it is a bullish indication and if the price closes below the breakdown then it is a bearish indication. Above the Breakout zone we have the Upper PRZ zone which is a potential reversal zone and similarly below the breakdown level there is Lower PRZ zone.. the PRZ zones marked in red colour act as a trend changer and major moves are expected from these zones.. the zones are small hence they create good value proposition for us. Beyond the PRZs both on upper and lower end we have the cycle targets depicted in green colour.

So when the month starts we can refer to our Sector Analyser chart Setup and see which sector is looking good for the month and how they are progressing. We can also identify early change in trends from the PRZ zones.

We usually refer to the chart once in a day or at EOD to make our analysis.