On Ashok Leyland 30min chart, we have a potential Long opportunity at the D leg completion of bullish BAT setup . The price reversal zone is between 87 & 86.
The PRZ zone is only a guideline of where we will be paying attention for trade setups and opportunity's.
Stop loss would be placed below X leg structure support .
Target 1 - 89.4 Target 2 - 90.9
(When looking to take targets on the bullish Bat Setup the first step is to use your Fibonacci retracement tool. With your Fibonacci retracement tool draw from the A to D leg, you are looking for target 1 at the 38.20% and target 2 at the 61.80%.
To protect the profits you have accumulated at target 1 it is advised you move your stop loss to breakeven once the 38.20% target 1 has been attained, thus giving you a risk free trade to target 2. )
Trade with Care Gulz.
Trade active
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Price already hit PRZ, price action is good so far. Long entry suggested inside PRZ
Trade active
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Crossed 88 & heading towards first target
Trade closed: stop reached
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Comment
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Watching the price action @ 1.13XA ( experimental purpose)
How does the fact that the low was breached prior to D affect the set up?
gulz
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@razultull, question not clear, could you please elaborate ?
razultull
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@gulz, Sorry, on the 22nd of March in the 30 min chart above, we see a low created which is lower than your D. This is tolerable for a bullish bat?
gulz
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@razultull, I haven't noticed this - normally i don't enter in such cases.
if i already entered before this move happened, i would keep a stop 1.13XA ( as we discussed earlier).
so if this flash moves below 1.13XA, i will be out from the trade with loss .