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Chart Patterns

Candlestick pattern: 1 Hour RetraceThe 1 Hour Retrace pattern is a candlestick formation with great potential for success and strength. This pattern originates after a false breakout of the level in which the price is contained, for example, in a channel. The beginning of this pattern occurs when one of the candles breaks outside the levels that contain the price and, subsequently, the next candle forcefully returns inside the pattern, closing within it. This indicates a false breakout and that the new price direction was incorrect. The stronger the candle on the return, the higher the probability that the price will swing back to the previous levels before the false breakout.
BITSTAMP:ETHUSDEducation
by JRiquelmeTrading
Candlestick pattern: Bullish Triple FormationThe 'Bullish Triple Formation' is a pattern in which two large bullish candles appear, separated by three small bearish candles. These three bearish candles make new lows and are contained within the body of the first large bullish candle. This pattern occurs in an uptrend and is interpreted as a correction of the trend after an upward impulse, indicating a potential continuation of the bullish movement thereafter. It's important to note that this pattern may have variations, as instead of three candles correcting the first large bullish candle, there can be two or more than three. The reliability of this pattern is high; however, it is still a single signal that should be accompanied by others to increase the probability of success in our analysis.
NASDAQ:TSLAEducation
by JRiquelmeTrading
Option's Trading With CandleStick Pattern's🤑💲💰💸❤#We Make Only Profit. #HDFCBANK #BANKNIFTY #NIFTY50 #NIFTY #SENSEX #TATA The long black candlestick is 'the mother' and the small candlestick is 'the baby'. The smaller the second candlestick, the stronger is the reversal signal. The shadows of the second candlestick do not have to be contained within the first candle's body. Which candle is best for option trading? Here are the top 5 candlestick patterns that traders must know: Doji. The Doji pattern is formed when the Open Price and Close Prices are the same or almost the same, and there is Low and High Price, so the candle has nearly nobody with a lower and upper wick. ... Hanging Man. ... Hammer. ... Morning Star and Evening Star. Technical analysis and options trading can go hand in hand. Many of the best practices for options trading come directly from technical analysis concepts. Technical analysis focuses on price. Fundamental analysis does not solely focus on price. RBI Forex Reserve Grow is this Good or Bad ? 1st 140 Billion loss hua hai or ab 20 Billion Grow hua hai to hai to abi bhi loss mai Gover..t abi losss mai hai
NSE:BANKNIFTYEducation
by ISL-TREND
8
#Drow Trend Line Like Professional🤑💸#We Make Only Profit. #HDFCBANK #BANKNIFTY #NIFTY50 #NIFTY #SENSEX #TATA whats is trend line? Trendlines are easily recognizable lines that traders draw on charts to connect a series of prices together or show some data's best fit. The resulting line is then used to give the trader a good idea of the direction in which an investment's value might move. KEY TAKEAWAYS: 1. Trendlines indicate the best fit of some data using a single line or curve. 2. A single trendline can be applied to a chart to give a clearer picture of the trend. 3. Trendlines can be applied to the highs and the lows to create a channel. 4.The time period being analyzed and the exact points used to create a trendline vary from trader to trader. What Do Trendlines Tell You? The trendline is among the most important tools used by technical analysts. Instead of looking at past business performance or other fundamentals, technical analysts look for trends in price action. A trendline helps technical analysts determine the current direction in market prices. Technical analysts believe the trend is your friend, and identifying this trend is the first step in the process of making a good trade. /*****************************************************************************************/ Technical analysis and options trading can go hand in hand. Many of the best practices for options trading come directly from technical analysis concepts. Technical analysis focuses on price. Fundamental analysis does not solely focus on price. what is option ? Options are a type of derivative product that allow investors to speculate on or hedge against the volatility of an underlying stock. Options are divided into call options, which allow buyers to profit if the price of the stock increases, and put options, in which the buyer profits if the price of the stock declines. RBI Forex Reserve Grow is this Good or Bad ? 1st 140 Billion loss hua hai or ab 20 Billion Grow hua hai to hai to abi bhi loss mai Gover..t abi losss mai hai laken wo Backup bhi ready kr rhe hai take 2023 kese wjh se krab bhi jaye to economy pe zada Farak na pade..
BSE:SENSEXEducation
by ISL-TREND
2
#How to Trade in Option Market 💲🤑💲💸💰#We Make Only Profit. #HDFCBANK #BANKNIFTY #NIFTY50 #NIFTY #SENSEX #TATA Technical analysis and options trading can go hand in hand. Many of the best practices for options trading come directly from technical analysis concepts. Technical analysis focuses on price. Fundamental analysis does not solely focus on price. what is option ? Options are a type of derivative product that allow investors to speculate on or hedge against the volatility of an underlying stock. Options are divided into call options, which allow buyers to profit if the price of the stock increases, and put options, in which the buyer profits if the price of the stock declines. RBI Forex Reserve Grow is this Good or Bad ? 1st 140 Billion loss hua hai or ab 20 Billion Grow hua hai to hai to abi bhi loss mai Gover..t abi losss mai hai laken wo Backup bhi ready kr rhe hai take 2023 kese wjh se krab bhi jaye to economy pe zada Farak na pade..
NSE:HDFCBANKEducation
by ISL-TREND
5
An Analysis in Harmony Top-Down Approach chart studyHello Friends, Today, we have something special in store as we take a top-down approach to analyze a specific stock - Tata Communications in the world of trading. By employing this multi-time frame method, we'll be diving into various charts, starting from the big picture down to smaller timeframes. Before we begin, please remember that trading carries risks, and past performance does not guarantee future results. The analysis we're about to discuss is for educational purposes only and not financial advice. Alright, let's kick off our analysis with the big picture - the monthly chart of Tata Communications. Here, we've identified an exciting Elliott wave count - the third wave of the fifth wave. According to Elliott wave theory, markets move in a series of five waves in the direction of the main trend, followed by three waves in a corrective direction. The third wave is well known for its strength and often the longest in a trending market. So, on the monthly chart of Tata Communications, we're witnessing this powerful third wave within the fifth wave, indicating potential significant moves ahead for the stock. Next, we'll move down to the weekly chart to gain more insights. On this timeframe, we observed a thrilling development - the "inverted head and shoulders" pattern. This pattern aligns perfectly with the larger Elliott wave count on the monthly chart, supporting the idea of a trend reversal and a potential new uptrend for Tata Communications. Finally, we'll zoom in even closer to the daily chart. Here, we have another intriguing pattern - a "flag and pole" pattern in the forming stage. This daily pattern further reinforces the notion of an upcoming bullish move for Tata Communications, in line with both the weekly inverted head and shoulders breakout and the monthly Elliott wave count. On daily time frame Flag and pole chart patterns, flag in formation and still breakout is pending By utilizing the top-down approach, we've gained a comprehensive understanding of Tata Communications' potential direction. The monthly Elliott wave count provided us with the big picture, the weekly inverted head and shoulders confirmed the trend reversal, and the daily flag and pole pattern hinted at a continuation of the upward movement for the stock. But remember, trading involves risks, and there are no guarantees. So, it's essential to approach it with caution and use risk management strategies to protect your capital. In conclusion, we've taken a top-down approach to analyze Tata Communications, considering the monthly Elliott wave count, the weekly inverted head and shoulders breakout, and the daily flag and pole pattern in the forming stage. Keep a close eye on these patterns and the stock's price action, and remember to trade wisely and make well-informed decisions. I am not Sebi registered analyst. My studies are for educational purpose only. Please Consult your financial advisor before trading or investing. I am not responsible for any kinds of your profits and your losses. Thank you for joining us on this exciting trading journey ! Most investors treat trading as a hobby because they have a full-time job doing something else. However, If you treat trading like a business, it will pay you like a business. If you treat like a hobby, hobbies don't pay, they cost you...! Hope this post is helpful to community Thanks RK💕 Disclaimer and Risk Warning. The analysis and discussion provided on in.tradingview.com is intended for educational purposes only and should not be relied upon for trading decisions. RK_Charts is not an investment adviser and the information provided here should not be taken as professional investment advice. Before buying or selling any investments, securities, or precious metals, it is recommended that you conduct your own due diligence. RK_Charts does not share in your profits and will not take responsibility for any losses you may incur. So Please Consult your financial advisor before trading or investing.
Editors' picks
NSE:TATACOMMEducation
by RK_Chaarts
23
Cup and Handle chart patternThis chart pattern is shaped like and resembles like a cup and handle that's why its named the same as cup and handle chart pattern. Shape: A “U” shaped bottom is preferred over a “V” shaped bottom as it indicates more consolidation. Ideally, the highs on either side of the cup should be equal. Duration of formation: The cup can take anywhere from 1 to 6 months to form, while the handle should take 1-4 weeks. Confirmation: The pattern is confirmed as bullish when the price breaks above the previous highs (the neckline) with strong volume. A buying opportunity arises when the price moves above the old resistance level (right side of the cup). Volume: Volume should decrease as prices fall to form the base of the cup and remain below average. As the price begins to rise again, volume should increase. Target: The profit target is calculated based on the depth of the cup. Measure the distance from the bottom of the cup to the neckline and extend that distance upward from the breakout level. Also it can give sometimes three times of depth of the cup. Risk Management: A stop-loss can be placed at the bottom of the handle or below a swing low within the handle if there were multiple price oscillations. I am not sebi registered analyst. My studies are for educational purpose only. Please Consult your financial advisor before trading or investing. I am not responsible for any kinds of your profits and your losses. Thanks RK💕 Most investors treat trading as a hobby because they have a full-time job doing something else. However, If you treat trading like a business, it will pay you like a business. If you treat like a hobby, hobbies don't pay, they cost you...! Disclaimer and Risk Warning. The analysis and discussion provided on in.tradingview.com is intended for educational purposes only and should not be relied upon for trading decisions. RK_Charts is not an investment adviser and the information provided here should not be taken as professional investment advice. Before buying or selling any investments, securities, or precious metals, it is recommended that you conduct your own due diligence. RK_Charts does not share in your profits and will not take responsibility for any losses you may incur. So Please Consult your financial advisor before trading or investing.
NSE:SUZLONEducation
by RK_Chaarts
7
Stock HeatmapHave you ever heard of a stock heatmap? 📈 It's an innovative and visually appealing tool used in the world of finance to analyze and interpret market data. Let's explore what it is and how it can be useful in your trading journey. 🌡️ What is a Stock Heatmap? A stock heatmap is a graphical representation of a large set of stocks or securities, where each individual stock is color-coded based on its performance or specific metrics. It provides a visual snapshot of the entire market or a specific sector, helping traders quickly identify trends, strengths, and weaknesses. 🔍 Utilizing Heatmaps 1️⃣ Market Analysis: Heatmaps allow you to assess the overall market sentiment and identify which stocks are performing well and which ones are underperforming. 2️⃣ Sector Analysis: By using sector-specific heatmaps, you can easily spot strong sectors and weak sectors, helping you make informed decisions about sector rotation strategies. 3️⃣ Stock Selection: Heatmaps can assist in narrowing down potential trading opportunities by highlighting stocks with significant price movements, volume surges, or specific technical indicators. 4️⃣ Risk Management: Heatmaps help you assess the risk-reward profile of different stocks, enabling you to prioritize stocks that align with your risk tolerance and investment goals. Remember, a stock heatmap should be used as a complementary tool alongside other fundamental and technical analysis techniques. It provides a dynamic and intuitive way to visualize market data, aiding in decision-making and identifying potential trading opportunities.
SP:SPXEducation
by JRiquelmeTrading
Metrics: DrawdownDrawdown is the metric used to measure the decline in a performance curve relative to a previous peak. It represents the distance between a maximum point in the capital curve and its subsequent minimum. This indicator can be visualized in relative terms (%) or absolute terms (€, $...). In my opinion, I always recommend using relative data as it makes the analysis more intuitive. From this concept arises the maximum drawdown of a strategy, which indicates the maximum percentage loss between a peak and a trough over a specific period of time. This period can range from the last month to the entire historical series, known as the drawdown from origin. Therefore, drawdown is used in the risk assessment of a system, both on its own and in combination with other related measures that provide a higher degree of information.
BITSTAMP:BTCUSDEducation
by JRiquelmeTrading
VIX vs S&P500The VIX index (officially known as the Chicago Board Options Exchange Market Volatility Index), developed by CBOE in 1993, is calculated based on the implied volatility of call and put options on the S&P500; index (SPX) over a 30-day period. The theory behind the volatility index is that if investors believe the market is going to decline, they will hedge their portfolios by buying puts (the right to sell an asset at a predetermined price before a specific expiration date). Conversely, if traders are bullish, they may not want to hedge against potential downturns. This index shows a negative correlation with the S&P500.; When there is high volatility, the VIX reaches high values and is often accompanied by declines in the S&P500;, indicating fear and pessimism in the market. These events often lead to significant movements in the stock markets. Conversely, when the VIX is at lows, there is confidence in the market and movements are smoother. Relevant VIX levels: VIX<20: Investor confidence. Often coincides with bullish periods for the S&P500.; 2030: Increased investor pessimism or fear. High volatility and the potential for significant downward corrections in the prices of the S&P500; and major stock indices.
TVC:VIXEducation
by JRiquelmeTrading
Correlation between different assetsCorrelation is a measure that establishes the degree of relationship between different assets. It is measured on a scale of +100% to -100%. In the case of a +100% correlation (perfect positive correlation), both assets move in an identical manner in the market. Conversely, if the correlation is -100% (perfect negative correlation), we are talking about two assets that move in an exactly opposite manner. Correlation is a crucial measure to consider because not being aware of the correlations between assets could inadvertently increase our risk. For example, if we open a sell position in NDJPY and another with the same lot size in NZDUSD based on an analysis conducted on the 4H timeframe, we would be multiplying our risk by 2 due to the high correlation between both assets in that timeframe (88%). The correct way to handle this situation may be to either reduce the risk of both trades by half or only trade the pair with a clearer scenario in your analysis.
BITSTAMP:BTCUSDEducation
by JRiquelmeTrading
The importance of using different TimeframesWhen visualizing the market and conducting technical analysis, it is crucial to interpret different timeframes. Multi-timeframe analysis can enhance the probability of success in our trading by utilizing support and resistance levels from higher timeframes than our base timeframe. It is also useful for identifying candlestick patterns in other timeframes and assessing their alignment with other signals observed in our analysis.
BMV:CEMEX/CPOEducation
by JRiquelmeTrading
Double Bollinger Band Strategy :Double Bolliger band Strategy : Tried to put in best easy way in the chart and simple explanation below : What we need : Two Bollinger Bands 1. Length 20 and StdDev 1 2. Length 20 and StdDev 3 Confirmation with indicators should be in same trend with candle stick trend 1. RSI (For trend identification) 2. Stoch (Entry and Exit confirmations / Overbought and Oversold confirmations) Risk Reward Ratio : 1:2 or 1:1.5 or as per your risk appetite, above ones shown with 1: 2 RR Rules of the game : When ever candle stick crosses above/below BB with StdDev 1, that’s the entry. Any candle after this should be used as entry point above the earlier candle which crossed BB with StdDev 1, stop loss should be the candle stick (candle stick which crossed) high or low (sell/buy respectively) or middle line of Bollinger band which ever are nearer. Take profit is 1 : 2 or as per the risk appetite. Avoid when : • Long wicks or long candles which crossed the BB with StdDev 1 • If the candle stick trend is not matching with RSI/Stoch (all should be in following same trend path) • If we don’t get entry within 2 candle sticks after the candle stick which crossed above/below BB with Std Dev 1 Stop Loss : Stop loss is the key here, please do not enter unless you understand how to calculate stop loss. Calculate Stop loss first before entry and it should be minimal say not beyond 40 points in Nifty as an example / acceptable loss in above example chart. Result : Out of 7 entries 1 hit SL while 6 won. 7 wins with 80 points each vs 1 SL with 40 points make to 520 points gain overall. Please do let me know if you have any questions would be happy to respond. Please do like and share this idea. Thanks Disclaimer : This analysis/strategy is only for educational purpose and not be considered as any trading idea/tip. Please consult your financial advisor before you take any trade and we are no way responsible for your profits/losses. Thank you!
Editors' picks
NSE:NIFTYEducation
by AdhigamaTrading
266
UJJIVANSFB - Important learning - how to pyramid up & trail SLTraders, even those who have spent significant amount of time in stock market, find it difficult to understand and execute the concept of Pyramiding up in a stock and how to trail SL with each opportunity of pyramiding. While going through my daily watchlist of stocks, came across this chart and found it best suitable to explain the concept of pyramid up & trailing SL. The image is self explanatory In case of any further query, pls feel free to comment or message.
NSE:UJJIVANSFBEducation
by TradewithAditya
Type of Important GapsThere are three common types of gaps that frequently occur - 1. The breakaway gap 2. Runaway gap 3. The exhaustion gap. Breakaway gap is a more significant gap that usually marks the beginning of new trend. It occurs when the price of a stock breaks a significant resistance. Runaway gaps typically occur during strong bull or bear markets, where the price accelerates in the direction of the trend. Exhaustion gap occurs towards the end of a trend, signaling the exhaustion of buying or selling pressure.
NSE:NIFTYEducation
by StockEngineers
SIMPLE BREAKOUT CHART PATTERNHere's a step-by-step breakdown of how breakout trading works: 1️⃣ Identify a Consolidation Phase: Look for a period of consolidation on the price chart where the stock's price is moving within a relatively narrow range. This phase indicates that the stock is building up energy for a potential breakout. 2️⃣ Set Support and Resistance Levels: Determine the support and resistance levels that define the boundaries of the consolidation phase. Support is the price level at which the stock tends to stop falling, while resistance is the level at which it tends to stop rising. 3️⃣ Wait for the Breakout: Monitor the price action closely and wait for the stock's price to break out above the resistance level or below the support level. The breakout should ideally be accompanied by an increase in trading volume, indicating strong buying or selling pressure. 4️⃣ Confirm the Breakout: To reduce the risk of false breakouts, consider using additional technical indicators or patterns to confirm the validity of the breakout. Examples include moving averages, trendlines, or candlestick patterns. 5️⃣ Enter the Trade: Once the breakout is confirmed, enter a trade in the direction of the breakout. You can place a buy order if the price breaks out above resistance or a sell order if it breaks below support. Set stop-loss and take-profit levels to manage risk and potential profits. 6️⃣ Manage the Trade: Continuously monitor the trade and adjust your stop-loss and take-profit levels as the price moves. Consider trailing your stop-loss to protect your gains if the stock continues to move favorably. Remember, breakout trading requires careful analysis and risk management. It's essential to use proper position sizing, risk only a small portion of your capital on each trade, and always be prepared for potential losses.
NSE:BANKNIFTYEducation
by WallStreetmny