SENSEX 1M CHART WRONG UNDERSTANDING GAP UP & RETRACE SETUP (1-JUN-26)

 SENSEX 1M CHART WRONG UNDERSTANDING GAP UP 

1-JUN-26 SENSEX 1M Chart

My Mind Thinking was

1) Market opened GAP UP and it will try to retrace either 61.8% or 78.6% as per previous observations in https://whyamifailing.blogspot.com/2026/05/nifty-sensex-banknifty-gapup-retrace.html

2) So took initial entry once powerleg high broken and unwing seen ( Rule followed)

3) Took second entry at 78.6% of actual powerleg ( I thought to it will BOOM, so with FOMO I took second entry even though writing option seen in instrument

4) After that immediately Powerleg swing low broken,  as usual watching market with HOPE for bullish momentum and booked the loss of 2200.

<<1st Entry Below >> 

Point 2) So took initial entry once powerleg high broken and unwing seen ( Rule followed)

<<2nd Entry Below >>

Point 3) Took second entry at 78.6% of actual powerleg ( I thought to it will BOOM, so with FOMO I took second entry even though writing option seen in instrument

FINAL CHART

What if  Buy PUT once its breaks the power leg swing low

CONCLUSION AND IMPROVEMENTS 

1) All GAPUP's Retraces wont work at 61.8% or 78.6% , the GAP UP's should form in BULLISH TREND ONLY which means Check Previous 3 days Trend , if its BULLISH then there is HIGH PROBABILITY OF REVERSE from Retracement levels.

2) If you see the 3 days trend on 1-Jul-26 we can identify that its BEARISH TREND hence this is LOW PROBABILITY SETUP for GAP UP's RETRACEMENT

3) If you observe previous WORKING SETUPS, the GAP UP formed  in BULLISH TREND, hence that setup was worked on GAP UP RETRACEMENT LEVEL

4) If you are buying CE/PE after 78.6 or 61.8 retracements, the price should close above 20EMA of 1 Min at least then only we can understand its respective retracement & don’t buy blindly at 78.6% or 61.8%

SPL Condition: If 5min candle breaks the GANN level and next candle also crossed above GANN candle in such scenario we can blindly buy at 71.8% retracement without waiting to close above 20EMA (1Min), since its closed above GANN level and retracement might happen at 71.8% for buying at cheaper

5) Try to book loss or take PE or short CE once Powerleg Support broken and dont wait watch with HOPE