Simens india- Siemens Ltd - Short Position Technical View

14 de dez.

### **Siemens Ltd - Short Position Technical View**

#### **Key Observations**:
1. **Wave Structure Analysis**:
- The chart suggests the completion of a **5-wave pattern** as per **Elliott Wave Theory**, indicating a potential **trend reversal** or correction.
- Siemens has reached the **fifth wave high**, which often signals exhaustion in upward momentum.

2. **Resistance Zone**:
- Strong resistance is observed near the ₹7,950–₹8,000 levels, which aligns with the upper Fibonacci arcs and historical resistance.
- Price rejection near this zone could trigger a short-term correction.

3. **Fibonacci Arcs**:
- The chart shows a series of **Fibonacci arcs** acting as dynamic support and resistance levels.
- The price is currently at a critical zone where the **2.618 and 3.618 Fibonacci levels** intersect.

4. **Risk-Reward Setup**:
- A **short position** can be initiated with a stop-loss above ₹8,200 (recent highs).
- Target levels:
- **First target**: ₹7,500 (recent support).
- **Second target**: ₹6,550 (strong support zone indicated in blue).
- Risk/Reward Ratio: Favorable for traders aiming to capitalize on downside potential.

5. **Volume Analysis**:
- Monitor volumes for confirmation. If the price declines with rising volumes, it confirms selling pressure.

6. **Indicators to Watch**:
- **RSI**: Check for bearish divergence; RSI in overbought zones (>70) often suggests a reversal.
- **MACD**: A bearish crossover near resistance would validate the short position further.

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### **Trade Strategy**:
- **Entry**: Initiate a short position around ₹7,950–₹8,000.
- **Stop-Loss**: ₹8,200 (above key resistance).
- **Targets**:
- **₹7,500** (short-term support).
- **₹6,550** (major support level).



### **Conclusion**:
Siemens Ltd is showing signs of exhaustion near critical resistance levels, with a clear **5-wave structure** and confluence of **Fibonacci arcs**. A short position can be considered with strict stop-loss and predefined targets.