Cyber Monday saleUp to 70% OFF

Double Top

Research Report(TA+PA) & Trade Plan: Usha MartinUsha Martin 13 Feb 2022 CMP 90.60 - Inv Head & Shoulder pattern with large base - BO of large base(consolidation/accumulation) on 26 Apr 2021 - minor RT of the neckline in Jun 2021 & upward move continued - price is again consolidating at previous long term swing high which is acting as resistance - micro double top 08 Nov 2021& 10 Jan 2022 with micro triple bottom 15,29 Nov 21 & 24 Jan 22 in price range 80-102 Conclusion:- immediate BO in either direction can give quick 20-25% with high probability of BO to higher targets, levels and targets are mentioned on the chart Inv Head & Shoulder setups: Swing Trade Continuation Head & Shoulder: Swing Trade Some Long Term Bets with quick Targets Views are for ‘’EDUCATIONAL PURPOSE ONLY’’ trade at your own risk. "Always Respect Risk" Happy Trading Jai Hind
NSE:USHAMARTLong
by DhirajSinghBais
3
Titan... pin bar & double top intradayTitan pin bar and double top intraday given a free fall from 2380 to 2325 During the intraday if one develops the habit of reading candlesticks and patterns than the dependency on indicator will reduce and more clear picture of movement can be seen without confusion loading of many indicators makes difficult to take action.. keep your chart clean and neat... load only needed information which makes you comfertable while trading.. views are just for EDUCATIONAL...
NSE:TITAN
by MDstockmagic
Double Top - Full ExplanationA Double Top is considered a bearish signal, indicating a possible reversal of the current uptrend to a new downtrend. Sometimes called an "M" formation because of the pattern it creates on the chart, the Double Top is one of the most frequently seen and common of the patterns. The Double Top is a reversal pattern of an upward trend in a financial instrument's price. The Double Top marks an uptrend in the process of becoming a downtrend. A Double Top consists of two well-defined, sharp peaks at approximately the same price level. The two tops are distinct and sharp. The pattern is complete when prices decline below the lowest low in the formation. The lowest low is called the "confirmation point". The slowing momentum may be evidenced through a lagging peak on an oscillator like RSI. Though not required, the market may break above the first peak, even if briefly. A slight and temporary break above the first peak is preferred as it may excite the bulls only to reverse and trend lower. The neckline is formed between the price low of the valley between the two peaks. A break below this neckline will confirm the double top pattern. The bearish confirmation is specified by a break in the key price support level (neckline) situated at the low point between the ‘tops’. Important Characteristics Following are important characteristics for a Double Top. Uptrend Preceding Double Top The Double Top is a reversal formation. It begins with prices in an uptrend. The trend upwards should be fairly long and healthy. Time between Tops Generally, the longer the time between the two tops, the more important the pattern is as a good reversal signal. Decline from First Top The deeper the trough between the two tops, the better the performance of the pattern. Volume Volume tends to be heaviest during the first peak and lighter on the second. It is common to see volume pick up again at the time of breakout. Pullback after Breakout A pullback after the breakout is usual for a Double Top. The higher the volume on the breakout, the higher the likelihood is for a pullback. Two Peaks at Different Levels Sometimes the two peaks comprising a Double Top are not at exactly the same price level. This does not necessarily render the pattern invalid. Some analysts point out that investors should be less concerned if the second peak does not hit the high of the first peak. Trading with Double Top: There are certain rules when trading with Double Top chart patterns. Firstly one should see the market phase whether it is up or down. As the double top is formed at the end of an uptrend, the prior trend should be an uptrend. Traders should spot if two rounding tops are forming and also note the size of the tops. Traders should only enter the short position when the price break out from the support level or the neckline. Example: From the below example of the 15 Min chart of NIFTY we can see how bearish reversal takes places after the formation of the double Stop Loss & Target : In the case of a Double Top chart pattern, the stop loss should be placed at the second top of the pattern and can be trailed at the pullback high as price moves lower but this will be a bit aggressive. The price target should be equal to the distance between the neckline and the tops. Hope you all learnt from this post. Share with the community if you liked it. Regards Omahto
Editors' picks
NSE:NIFTYEducation
by Omahto
17
Technical Analysis of Cognizant Technology Solutions ( CTSH )Disclaimer: I don’t own shares of Cognizant Technology Solutions ( CTSH ) The below analysis is not a trading or investment recommendation & is only for learning purpose. 1. CTSH entered a long-term uptrend in Nov’21 with price closing above the 200MA. 2.Price broke the previous high around $83 after having retraced 38% to $66. 3.Price has formed a double top structure on the daily chart with the neckline around $80 showing failure of bullish momentum to break above the previous high around $92 & sustain higher. This is also supported by unconfirmed RSI bearish divergence on the daily chart ; however, price hasn’t broken the trendline yet. A break of the trendline would confirm the bearish divergence between price & RSI . 4.Price is receiving support around the high of the previous consolidation area around $82 indicating no strong interest on the seller’s side to break the $82 support & take it lower. 5.Price volume analysis indicates that the current up move $66 to $92 has not been backed by a significant increase in volume . A strong uptrend is usually supported by a large increase in volume igniting the move followed by bouts of high volume to keep the momentum intact, both of which are missing. 6. For the next leg of up move, price needs to have a close above $93 with increased volume & sustain itself. 7. A break below the neckline around $80 could push the price down to the 200MA around $77 being the first level of support. 8. In the long term after the resistance at $93 is taken out, the stock should eventually reach $109 completing an AB=CD pattern. All the best!
NASDAQ:CTSH
by Venkat_014
Balajitele - Range Bound - Range BreakoutNSE:BALAJITELE BalajiTele View : Bullish Shortterm - Medium Term - Long term Structure : Range Bround Range Breakout: Traders can enter in the direction of a breakout from a trading range. To confirm the move is valid, Traders can use other indicators as per thier own wish. Observation: 1. Range Breakout @ 75.00 2. Double / Multiple Bottom 3. Multiple support between 57 -58 indicates Balajitele can break the Upper range. 4. Range broken at 75.00 CMP 77.00 (7th February 12.40) View: Buy between 75 - 78 Stop Loss: 69.75 for long term Target 83 - 89 - 92 - 96 - 95 - 100 + + + +
NSE:BALAJITELELong
by FalgunPrajapatiTrading
Weekly BTC-USD(24th January)Crypto markets continue to bleed as the total crypto Mcap plummeted by more than ~20% in the last week alone. Uncertainty in Russia and Ukraine also adding more fuel to this fire. Overall, the global markets are also trading in red from the start of this year and due to high correlation between both the markets, crypto markets plunged more than the Equity markets. On the Weekly TF, BTC formed a big bearish candle and closed the week with more than ~16% declines but managed to close slightly above its 100-WEMA. At the time of writing, BTC made a new low for 2022 and is trading just above $33,500. As per the current market scenario, bears are in full strength and every move by Bulls is being pushed back to lower levels, lack of bullish strength is mainly due to the continuous liquidations bulls have to face from the last 1-2 months. BTC is already trading below its crucial psychological levels of $40K, however, the immediate support is present at $32K followed by $30K, but if BTC bears also managed to crash below $30K, then this will result in breakdown of the Double Top neckline structure, this can result in further downswing to continue for more 15% to 20%. If the bearish trend continues, there will be minor pullbacks to the higher side which can be used to close your Long positions or enter into a new short trade. However, we can expect fresh buying in the range of $29.5K to $30.5K and hence a trend reversal or sideways trend can be expected before we break below the $30K level. The nearest hurdle is placed at $36,000 followed by $38K and then the major resistance at $40K. Weekly RSI is trading at its lowest level since 2021 and Daily RSI is already in the Oversold zone which depicts that short term pullbacks can be expected in the near term.
COINBASE:BTCUSDShort
by TradeDog-Research