Stricly for educational purpose and not a recomendation
Reasons: 1: trend of the stock is bullish with technical indicator support
2: direction of 200 ema
3: major trend line resistance at 174.25
4: less than 1.5 % gap btween 200 ema timef rame lines and it is converging (green lines on my chart)
do your analysis and add to your watchlist. Thank you.
If you like...
As indicated on the chart, the price has sharply reversed from the current levels down to the support line. I am expecting the price to do the same this time around and reverse to the lower level.
Observe for price action at the open and go short at the highest point.
The trade will fail if the previous high is broken, hence that will be the stop...
Hidden Divergences indicate the uptrend in price should continue.
The price action candle pattern supports the hypothesis.
So unless, its a super Bearish Market tomorrow, it should be a good trade!
Go Long above 154.5 for 156, 157, 160 (if it sustains above 157.3 - 50 DMA) with SL at 153
Date: 18 July 2020
Exide Industries (CMP 159.80)
Double Bottom and Flag pattern can be seen in the chart. Price trading well above 20 DEMA and 50 DEMA.
Target 170. If 170 is achieved then next target will revised at 180.
T1- 163, T2-166, T3-170; SL-155
PCR = 0.41; Max OI at 160 CE (12.31 Lacs), 165 CE (7.02 Lacs) and 170 CE (7.07 Lacs).
1. Formation of Triangle pattern and Upper Breakout with Volume Confirmation
The price breaks above the upper trendline with a noticeable increase in volume, confirming this bullish pattern as a reversal of the prior downtrend.
Every Price Action Pattern after breakout provides some Target Range and according to Triangle: