Perfect Trade setup using Price Action & Indicator confirmation

The chances of trade being successful increase when you combine Price action with Indicators.
This Trade setup uses Weekly and daily timeframes and two indicators – RSI & MACD.

Stock: Motherson Sumi
CMP: 135.65
Type: Swing Trade (delivery)

Buy level: 139.50 (on a breakout above rejection candle high on weekly timeframe)
SL: 119.40 (Slightly below rejection candle low on weekly timeframe)
Target: 199
Risk/Reward ratio: 2.9

The rationale behind the setup:
The chart formed strong resistance at 123rs which was broken by a strong green candle accompanied by above-average volume. The stock rallied up to 272 and then entered the correction phase.
Once resistance is broken, it turns into support (change of polarity principle).
As shown on the chart, a strong rejection candle with high volume was formed at the resistance turned support level.

Comment:

- On the daily timeframe, RSI has reversed from oversold territory of below 20 and has crossed above its EMA.
- MACD crossed the signal line from below with good momentum confirming the setup for a long trade.

Important points to keep in mind while deploying the trade:
- Buy on a Daily timeframe closing basis.
- The chart is currently forming small doji/spinning tops on a daily timeframe, Need a strong candle breakout with good volume for deploying the trade.
- A strong candle breakout will most likely push the price above my buying level and change the R/R ratio. In that case, the stop loss can be moved up to the swing low before the breakout candle.

This is not a buy/sell recommendation. I'm not a registered advisor. I'm posting my analysis here to track it and to learn from the community.

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Comment:

Even though the price is above our buy level marked on the chart, This is not a suitable buy condition.
The chart is making small candles with falling volume.

Order cancelled:

Even though the price moved above the buy level, There's no clear signal for taking a trade. will publish a new idea once I find a good entry point.