PFC : Consolidation breakout - Dark cloud cover
Updated
Scrip had been trading in a channel or consolidation phase since 159 days (5 months approx.) with three reaction lows and two higher highs, now to breakout from consolidation channel with higher volume surge aiming towards TP as mentioned..
However, Dark cloud cover pattern has been formed on day 2 which is bearish candlestick reversal pattern, similar to the Bearish Engulfing Pattern
A Dark Cloud Cover Pattern occurs when a bearish candle on Day 2 closes below the middle of Day 1's candle.
In addition, price gaps up on Day 2 only to fill the gap and close significantly into the gains made by Day 1's bullish candlestick.
The rejection of the gap up is a bearish sign in and of itself, but the retracement into the gains of the previous day's gains adds even more bearish sentiment.
One needs to be wary and it would be necessary to see breakout from 147 levels in order to reach the desired targets with profit book at levels as defined
MACD showing the bullish momentum
Have already stayed invested with the company which has shown progressive results in Q2 and announced interim dividend, too
outlookindia.com/newsscroll/pfc-q2-profit-at-rs-188659-cr/1180937
SL as per risk appetite
However, Dark cloud cover pattern has been formed on day 2 which is bearish candlestick reversal pattern, similar to the Bearish Engulfing Pattern
A Dark Cloud Cover Pattern occurs when a bearish candle on Day 2 closes below the middle of Day 1's candle.
In addition, price gaps up on Day 2 only to fill the gap and close significantly into the gains made by Day 1's bullish candlestick.
The rejection of the gap up is a bearish sign in and of itself, but the retracement into the gains of the previous day's gains adds even more bearish sentiment.
One needs to be wary and it would be necessary to see breakout from 147 levels in order to reach the desired targets with profit book at levels as defined
MACD showing the bullish momentum
Have already stayed invested with the company which has shown progressive results in Q2 and announced interim dividend, too
outlookindia.com/newsscroll/pfc-q2-profit-at-rs-188659-cr/1180937
SL as per risk appetite
Trade active
Pursuant to Dark cloud cover, The scrip had retraced after gap down however, exhaustion gap is to be noticed after scrip has managed to bounce back from support levelsImportant to see if the scrip manages to form bullish exhaustion gap and breakout with rising volume to cross the resistance levels
Trade active
Pursuant to Dark cloud cover, The scrip had retraced after gap down however, exhaustion gap is to be noticed after scrip has managed to bounce back from support levelsImportant to see if the scrip manages to form bullish exhaustion gap and breakout with rising volume to cross the resistance levels
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