Momentum Trades — Trades 3 & 4 (IGL & INFY) — 8 March 2022

Sriram Balasubramanian
Coinmonks
Published in
3 min readMar 8, 2022

--

Here are my stock trades/set-up explanations & charts

Photo by m. on Unsplash

Indraprastha Gas Limited (NSE: IGL)

Yesterday, we traded ONGC, and I explained in numerous blogs that the current global scenario is pushing Oil & Gas, Energy prices high, and thus, it is a favorable environment to trade stocks in these sectors.

Let’s look at the charts for Indraprastha Gas (IGL).

We checked for supports on a daily & weekly chart, and the stock rebounded a bit on the support line. There was accumulation and above-average volume, which indicated buying action.

Upon further analysis:

  1. The MACD had a golden cross or bullish cross over
  2. Stochastics had a bullish cross over and was in an oversold region
  3. RSI went up sharply, indicating the trend reversal.

Towards the end of the trading day, the volume has spurted so high indicating more buyers to close the trading day with a 9.5% gain.

We entered the trade assuming a risk to reward ratio of 2 for the trade, and the stop-loss set at about 4% up to the nearest next price resistance.

Infosys (NSE: INFY)

The tech sector in the US and India has taken a beating, and thus, most stocks have corrected well from their all-time high price.

We found that INFY was supported between price levels INR 1672~1695, and the immediate resistance is at about INR 1896, the stock getting consolidated at about INR 1720 range.

--

--

Sriram Balasubramanian
Coinmonks

Building WIBE to enable people to trade stocks to generate consistent cash flow. I enjoy writing on Wealth of all types!