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.
CASTROLINDIA looks like a promising reversal at this moment. We Initially, predicted an up move on 13th Yet, it gap down violently below the demand zone and just recovered from the bottom without any volume
Such a recovery without any volume tells us that there are no selling pressure in the market and this is just a mark down from long term buyers after ...
sunpharma has been within descending channel, and it has formed double bottom on weekly charts, all these patterns i have marked in the charts, one can look for breakout of the neck line to see a good upmove or the prices may travel within the range . .... please comment your ideas
Moving in downward channel.
As per previous chart touched upper line of channel & trying to break out above it but fail to sustain & formed a Double Top.
Below 545 looks weak.
Sell Below 545 only.
Targets are 519/509/499,
Resistance @ 565.
Will review later near targets/resistance.
Positional View.
Other Details Mentioned In Chart.
Please Consult Your Financial ...
We can buy from here following are reasons:-
1) Made exact double bottom in monthly chart.
2) broke the trend line
3) made doji
4) Made divergence on MFI
5) SL is 434, and tgts are all above fiboo level, risk reward ratio is best
The Stock has broken the Double bottom neckline and traded above it so we can conclude that it has changed its bearish behaviour. Price us retesting the previous bottom and bounced from there. RSI is healthy. We can frame a long trade with the following details
Entry 398
SL 379
Target 424/440
PF setup may guide the price movement and target.
Disclaimer : All ...
Price are moving in a parallel channel but in a special way as it touches the same line twice before turning the direction. It has already touched the lower trend line twice so we can expect it to go the upper trend line now. Rectangle pattern may give minor resistance at 505 and on crossing decisively, it may see the 540 level.
Disclaimer : All ideas are my ...
1) Testing its ATH (All Time High) level.
2) Perfect 'v' formation @ important level
(which is very very bullish indication)
3) 78.6% fibonacci extension level on WEEKLY timeframe
coincides with ATH. As we know, breakout of 76.8% lvl of
fib extension considered as continuation of the mail trend.
4) Concern : forming DOJI from last two days.
5) Relief : Even ...
Chart has formed 2B reversal pattern which can be used for a reasonable Risk to Reward trade. One can enter a long where SL of 583 is affordable. Target 640
Disclaimer : All ideas are my personnel view. Please take financial consultancy for trading decision.
Double bottoms have formed and the trajectory looks like its going to be breaking its neckline to head into new highs, Expected target 31500-32000 levels. This coupled with good results show that this is quite achievable. Buy 2 lots in futures and stop loss as indicated in the charts
