The stock is trading near its high. Previously when the stock made a high at the same level correction was seen in the stock, which indicates sellers are getting activated in the market at high, suggesting a Sell on Rise in the stock. The same has been seen recently selling pressure at the same level. This level has been marked as a resistance.

If the stock closes below today's low we  can expect the stock to correct ahead. The stock was trading in a range and can expect the stock to again trade in a range. Opportunity of selling exists, expecting the seller to come into action ahead.

We need to wait for some confirmation so that we can be more sure about selling.
Following confirmation is needed for strong selling to come ahead.

MACD crossover and trading below 0, Macd has given one confirmation and will wait for another so the RR would be favourable.

Advice : Wait for the confirmation, if mentioned confirmation is followed go short on the security.

Further advice is for risk taking traders.

Stock trading near its 5day EMA, closing is expected below the EMA.

Resistance will play a crucial role in stock closing above resistance exit from the stock.

Treasury Wine Estate

Aug 03 2021

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