CUMMINSIND | Trendline breakout - Potential for 30%

CUMMINSIND | Trendline breakout - Potential for 30%

CMP : 909 (Dip : 890)
SL : 820
Target : 1050, 1200
Trade closed: target reached


Does RSI matter bro?
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It is a medium term bet for few weeks!
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can i buy Cummins India tomorrow please guide
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srikartiram kanishkg5
@kanishkg5, Yes can buy. Be prepared to hold 6-8 weeks. It will perform surely.
kanishkg5 srikartiram
@srikartiram, sir what should be the target for 1 to 2 weeks? Can good target be achieve in 1 to 2 weeks?
I have few queries.
1. If the candle's open is below the trendline and closed above the trend line, is it ok to call this a breakout? I thought open and close both should be above the trendline.
2. How to identify whether this is a false breakout or not? Will the market provide any indications or signals?
3. Ho do you calculate the Target?
+1 Reply
srikartiram newinthefield
@newinthefield, Its not necessary the candle to open above the trendline and close. Just closing is fine regardless of wherever it opens. Just observe the price action behaviour in simple manner. No need to complicate with X & Y axis of trendlines.

There is no way to identify the false breakout, some used refer Volume, RSI etc etc. But i dont believe in them. I'm an early bird in any stock. I just exit with stoploss if it is failed breakout. Nobody is going to put us in jail if we take a false breakout stock. It is just breakout failure thats it in that case :)

Targets i basically see next important swing high or resistances or supply zone. I use Fibonocci levels at times. But trading style is very simple, i dont know much about technicals except supply and demands.
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kbtganesh srikartiram
@srikartiram, My investment amount is very less like 5k to 7k max for each stock. So I cannot afford too many false breakouts due to brokarage/dc charges because my profit also will be less. How can I trade without stoploss? Or is it mandatory to increase my investment amount?
+2 Reply