Hindalco_On The Verge Of All Time High_Giving Breakout After Bre
*Safe Target 622 within next week*
#Breakout:
Identification: Look for a significant price level, such as support or resistance, where the price has historically struggled to move beyond.
#Confirmation: Wait for the price to break decisively above (in the case of a bullish breakout) or below (in the case of a bearish breakout) the identified level. This breakout should be accompanied by increased trading volume to confirm the strength of the move.
#Retest:
After the breakout, wait for the price to pull back and retest the broken support or resistance level. This is an opportunity to enter a trade if the retest suggests that the breakout is valid.
Entry and Stop-loss:
#Bullish Breakout:
Enter a long position after the retest confirms support turned into resistance.
Place a stop-loss order below the retested level to manage risk.
#Bearish Breakout:
Enter a short position after the retest confirms resistance turned into support.
Place a stop-loss order above the retested level.
#Target and Risk Management:
Set a target based on the expected price move after the breakout. This could be determined by measuring the height of the pattern that led to the breakout.
Use risk management techniques to determine the position size based on your risk tolerance.
#Monitoring:
Continuously monitor the trade to assess its progress and adjust the stop-loss or take-profit levels if needed.
#Additional Confirmation:
Consider using additional technical indicators or chart patterns to confirm the strength of the breakout and retest.
#Breakout:
Identification: Look for a significant price level, such as support or resistance, where the price has historically struggled to move beyond.
#Confirmation: Wait for the price to break decisively above (in the case of a bullish breakout) or below (in the case of a bearish breakout) the identified level. This breakout should be accompanied by increased trading volume to confirm the strength of the move.
#Retest:
After the breakout, wait for the price to pull back and retest the broken support or resistance level. This is an opportunity to enter a trade if the retest suggests that the breakout is valid.
Entry and Stop-loss:
#Bullish Breakout:
Enter a long position after the retest confirms support turned into resistance.
Place a stop-loss order below the retested level to manage risk.
#Bearish Breakout:
Enter a short position after the retest confirms resistance turned into support.
Place a stop-loss order above the retested level.
#Target and Risk Management:
Set a target based on the expected price move after the breakout. This could be determined by measuring the height of the pattern that led to the breakout.
Use risk management techniques to determine the position size based on your risk tolerance.
#Monitoring:
Continuously monitor the trade to assess its progress and adjust the stop-loss or take-profit levels if needed.
#Additional Confirmation:
Consider using additional technical indicators or chart patterns to confirm the strength of the breakout and retest.