IDFC

Scrip : IDFC (NSE)

Pattern: Swing (Bear) trap.

Wave: Wave C completed. Wave 1 to start.
William %R: Nearing -80. Very close to oversold region.
Support: around 196.

Resistance: 205 

Entry Date: 1-11-2010.
Entry Price: entered at 206 in futures.
Exit Date: 4-11-2010.

Exit Price: 210.

For some reason, I like this stock a lot. And I got a chance to trade this again. 

While looking for new trades, I chanced upon a nice swing trap completed in IDFC. I was skeptical trading this, as the quarterly results were to be announced in a week from the day of my entry into trade. This played on my mind. Though I had got a good entry point, I bungled on the exit. Had I closed my position in the afternoon instead of in the morning, my Diwali bonus would have been even better.

Well, though I didn't  make a lot of money in this, trade. 

I wanted to show 2 things in this.

1. A good pattern in Swing trap(or bear trap or ABC pattern) - though it didnt occur in between the 10 EMA and 30 EMAs.

2. Lesson that one should play it safe and exit the position atleast a day before the results are announced. One can see how the stock sold off in the next few sessions.