BPCL : BPCL could be set for a dip after short a term pullback

BPCL has just broken the ascending channel to the downside and is potentially forming a bear flag pattern to continue its downward trend. There can be a short term pullback rally till 356-362 levels before it can continue its trend downward. Traders should observe these zones for potential rejections or candlestick patterns. The first zone as marked in the chart can be the area where it rejects price as this is a double top structure. The second zone can be at the 360 price mark at the 3rd touch of the bear flag which means the completion of the pattern and can trigger the potential drop. If traders enter short at these levels they can look for 349 as target 1, 342 as target 2 and 332 as the 3rd target.

Comment:

We have reached the potential reversal zone, we can now wait for any reversal candlestick patterns at this stage or wait for the 3rd touch of the bear flag pattern and then see for any candlestick patterns.

Trade active

Trade closed manually

Comment:

Target reached