Broadening Top Formation - Textbook Example
Updated
L&T Finance | Short Below 128 | Stop-loss 134 | Target 105 |
Risk/Reward 1:4
It's a broadening top formation. And pretty much like what the textbook describes. Be careful because nice-looking patterns are rarely successful.
If price closes above the upper trendline before breaking 128 then the trading setup becomes invalid.
Risk/Reward 1:4
It's a broadening top formation. And pretty much like what the textbook describes. Be careful because nice-looking patterns are rarely successful.
If price closes above the upper trendline before breaking 128 then the trading setup becomes invalid.
Trade active
Note
Shorted at 128 and price Made a low 120.50 today. Trailing Stop-loss from 134 to at clost 128. Target is 105Note
Note
Trailing Stop further form 128 to 123, which is a starting point of broadening top. L&T Finance Shorted at 128. Target is 105. CMP 114.50
Note
Trade closed: target reached
Note
Target came quickly because of selling across the glob. 
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