The 707 Pivot: HDFC Bank Executes a Textbook Reversal
Back on July 28th, I sent a detailed note to my private subscribers mapping out a high-probability bottoming zone for HDFC Bank between 710 and 720. Exactly one month later, on August 28th, the stock decided to test our patience—and our stops—by dipping to a low of 707 before aggressively snapping back.
I suppose we can forgive the market for a three-rupee margin of error, especially given the dramatic flair of the price action that followed.
Jokes about precision aside, that 707 print is a massive structural development. The stock etched a picture-perfect reversal bar right off that exact level, effectively slamming the door on the bears. When a heavyweight counter like HDFC Bank leaves a footprint like that at a major geometric demand zone, you don’t argue with it—you trade it.
Going forward, this 707 mark is no longer just a recent swing low; it is our absolute bedrock. It is the definitive line in the sand that separates a healthy accumulation phase from structural failure.
The Roadmap Ahead With the bottom now seemingly locked in, the coiled spring is ready for release. I expect this counter to execute a sharp, high-velocity rally, targeting two specific zones over the next few sessions:
- Target 1 (780): The immediate tactical objective and initial resistance test.
- Target 2 (840): The broader structural expansion target once momentum algorithms catch the scent of the reversal.
The Professional Takeaway We are entering incredibly interesting times for this banking heavyweight. The risk is now tightly defined against that 707 floor, while the upside runway is wide open. The hard work of finding the bottom is done—now we simply manage our risk, hold the line, and let the market do exactly what it was designed to do. Let’s watch the tape.
gann,insides 