The double top is one of the most popular patterns in trading. It's a reliable reversal pattern that can be used to enter a bearish position after a bullish trend. It consists of 2 tops at nearly the same level with a valley in between, which creates the neckline. The second top does not break the level of the first top, so the price retested this level and tried to make a higher high, but failed. Price breaking the neckline and closing below it would complete the pattern.
Conservative traders look for additional confirmation and aggressive traders may enter a bearish position from the second top. The target can be estimated by measuring the height of the pattern and projecting this downwards from the neckline. Common stop levels are just above the neckline, halfway between the neckline and the tops or above the tops. The double bottom is the bullish version of this pattern that can form after a downtrend. A popular variation of this setup is the 2618 trade (as taught by Jason Stapleton) with specific rules for the pattern configuration including where to enter and to exit the trade.
We can draw Beautiful Multiple Pivot Line capturing the price movement since last 6 months. It is showing that strength is returning as there was big gap bar which was not filled and again today it has made a 3LR reversal bar with gap. Double bottom Neckline at 330 can pose some resistance so defensive trader can wait for the breakout of that level byt aggressive ...
I can see that Nifty NSE:NIFTY has formed a nice Double top around 10900 levels with RSI divergence.
If it fails to cross this hurdle it may come back to 10420-10490 levels.
If it breaks 10900 and sustains above it on closing basis the trade is invalidated.
Good opportunity yo short here with a small stop loss.
Disclaimer: Views expressed here are my own, ...
The stock is showing sign of TREND REVERSAL. It has completed the double bottom and 1-2-3 Reversal pattern. One can trade the stock for a target of 146.50. Once can also consider investing the stock for medium term perspective. RSI above 50 is confirming the decision.
Disclaimer : All ideas and comments are my personnel view. Please take financial consultancy for ...
With Metal Index looking Bearish, selling pressure seems to be mounting on JSW steel NSE:JSWSTEEL as it formed an extremely Bearish candle on Friday.
I can see that it has formed a Double Top like structure around 344 levels and is showing Negative Divergence.
Looks like the stock is heading towards 307 levels.
Good opportunity to go short with a small stop ...
The stock has formed the double top and closed below its Neckline. Any pull back now could be used to short the stock
Entery 1285
SL 1311
Target 1200
RR Ratio 3
Disclaimer : All ideas and comments are my personnel view. Please take financial consultancy for trading decision.
will like to go long in the script forming a good marubuzu , followed up buying and sustaining the levels , stock beaten up laready , thus some good , can add great in market cap .. stop of 51 target of 60++ risk to reward near 1 : 1 .
Tech Mahindra has been struggling to cross the resistance around 722 for past few days.
With IT index looking weak, there is a high probability that the stock may crash soon.
I can see a Double Top formation around 722 levels with a negative divergence.
Good opportunity to short here with stop loss a few points above 722 for a first target around 640 ...
Acc is going good with Increases Of Volume For Now I am Going To Long
If anyone Found Any Mistake In my chart then Please mention In the Comment
Thanks
Pitchfork seems to be catching the price movement well and a good demand is observed at current level. RSI is also out of Oversold zone. Trading setup looks attractive with affordable SL as the details given below
Entry 167, SL 161, Target 186. It is worth taking small risk that offers a good Risk to Reward ratio of above 3.
Disclaimer : All ideas and comments ...
This down trending stock is showing some strength recently and refused to make further low, thus formed double bottom. It is showing RSI divergence. One can buy the stock as per details given below
Entry 112
SL 107
Target 132
RR 4
Disclaimer : All ideas and comments are my personnel view. Please take financial consultancy for trading decision.
It is observed that at current level demand emerges and price bounces back. It has formed a bullish Engulfing candle and RSI is also showing divergence. The stock is in downtrend and is still in oversold zone but still one can try a long here by roviding reasonable SL. Increased Volumes at bottom also confirming the long decision. Pharma stock has shown a good ...
Lupin LTD:
- It is retracement 76.4 % move to previous high 2122.00
- Looks like double bottom (reversal pattern ) on Weekly chart
- Very Good Risk Reward Ratio
Trade With Strick stop loss
Best Wishes
