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Rectangle

Artemismed broke out of base. Long opportunity... - Good volume -Trading above key DMAs. -Group movement in the pharma and healthcare sector. Safe traders: Wait for a retest or add 30-50% now and add the rest after the retest. SL 265 closing basis. Deep SL. So position sizing and risk management are imperative. Risk per trade is Around 18% RR: 1:1.2 Aggressive traders: Can try going long above today's high ( 324.5) with SL below today's breakout candle closing basis. Risk : 11.2% RR: 1: 2 This is just a view about how to approach this breakout. Breakouts can fail easily in this market. So please consult your financial advisor before investing. Hold for medium term if you know how to manage the risk. Short-term plays in this market are tricky in my opinion.
NSE:ARTEMISMEDLong
by sagartharayil
Dhani Services Ltd. Based on Rectangle Pattern Breakout 1. Pattern Analysis - Rectangle Pattern: - Timeframe: 2 Years - Description: The stock has been consolidating within a rectangle pattern, with a well-defined resistance at ₹75 and support at ₹40. This prolonged sideways movement indicates accumulation and a potential buildup for a significant move. - The breakout above ₹75 marks the end of the consolidation phase and the start of an upward trend, confirming a bullish breakout. 2. Volume Analysis - Volume Behavior: - During the consolidation phase, volume remained low, which is typical for a rectangle pattern. - A notable volume spike during the breakout, as seen recently, signifies increased market participation and validates the breakout. 3. Price Action Analysis - Resistance Levels: - ₹75: The previous resistance and breakout level. - ₹90–₹100: Immediate target zone based on historical price action. - Support Levels: - ₹60: Potential retest zone after the breakout. - ₹40: The lower boundary of the rectangle, serving as the final support. - Candlestick Behavior: - The breakout was marked by a strong bullish candlestick with a close near its high, indicating momentum. - Recent higher highs and higher lows further confirm bullish price action. 4. Validation of Bullish Signal - The breakout above ₹75 is supported by a clear volume spike, showing increased demand. - The long consolidation period adds reliability to the breakout, as prolonged patterns tend to yield stronger moves. 5. Target Setting - Rectangle Pattern Target: - Height of the rectangle = ₹75 - ₹40 = ₹35. - Target = ₹75 + ₹35 = ₹110. - Incremental Targets: - Target 1: ₹90 (+20% from ₹75). - Target 2: ₹110 (+46% from ₹75). 6. Entry and Stop Loss - Entry Levels: - Primary Entry: Above ₹75 after the breakout. - Pullback Entry: Near ₹60 if the stock retests the breakout level. - Stop Loss: - Place a stop loss at ₹60, below the potential pullback zone. 7. Trade Setup Summary - Entry Levels: - Above ₹75 for momentum traders. - Near ₹60 for a pullback entry. - Targets: - Target 1: ₹90 (+20%). - Target 2: ₹110 (+46%). - Stop Loss: ₹60. 8. Final Notes Dhani Services Ltd. has successfully broken out of a 2-year rectangle pattern, with strong volume confirming the breakout. The long-term consolidation suggests that the breakout has significant potential to drive the stock higher, making it an attractive opportunity for traders. Close monitoring of price action around ₹75 and ₹60 is recommended for entry and to manage risk effectively.
Editors' picks
NSE:DHANILong
by Mr_Chartist_
1
Expand Energy Corporation Based on Rectangle Pattern 1. Pattern Analysis - Pattern: Rectangle Pattern - Timeframe: 2.8 Years - Description: Expand Energy Corporation has been trading within a well-defined Rectangle pattern, with horizontal resistance at $98 and support at $68. This prolonged consolidation phase represents a balance between buyers and sellers, with neither side dominating. The recent breakout above $98 signifies a potential end to this consolidation and the start of a new bullish trend. 2. Volume Analysis - During the Rectangle Formation: - Volume remained relatively low during the consolidation, which is a typical characteristic of Rectangle patterns. The lack of significant volume reflects reduced volatility as the stock traded within the defined range. - Breakout Confirmation: - A substantial increase in volume accompanied the breakout above $98, validating the bullish breakout. This surge in volume indicates strong buying interest and confirms the breakout’s reliability. 3. Price Action Analysis - Resistance Levels: - $98 served as the upper boundary of the Rectangle pattern. The recent breakout above this level suggests a bullish continuation. - Support Levels: - $68 represents the lower boundary and long-term support of the Rectangle pattern. - Intermediate support at $88, derived from the recent price action, is likely to act as a pullback zone if the price retraces. - Candlestick Behavior: - The breakout candle is a strong bullish candlestick with a long body, indicating decisive upward momentum. The absence of significant upper wicks suggests minimal selling pressure at the resistance. 4. Validation of Bullish Signal - The breakout above $98, accompanied by strong volume, confirms the bullish signal for the Rectangle pattern. This breakout indicates a shift in market dynamics, with buyers gaining control and pushing prices higher. 5. Target Setting - Target Projection: - The height of the Rectangle pattern is $98 - $68 = $30. - Adding this height to the breakout point gives a target of $98 + $30 = $128. - Incremental Targets: - Target 1: $110 (+12%) – A short-term target based on psychological resistance. - Target 2: $120 (+22%) – A medium-term level aligning with intermediate technical levels. - Target 3: $128 (+30%) – Full pattern projection. 6. Entry and Stop Loss - Entry Strategy: - Primary Entry: Above $98 following confirmation of the breakout with sustained volume. - Alternative Entry: On a pullback near $88 if the price consolidates before resuming its uptrend. - Stop Loss: - Place a stop loss at $88 to protect against a failed breakout. If the price falls below this level, it would invalidate the immediate bullish outlook. 7. Trade Setup Summary - Entry Levels: - Above $98 on breakout confirmation. - Near $88 on pullback support. - Targets: - Target 1: $110 (+12%). - Target 2: $120 (+22%). - Target 3: $128 (+30%). - Stop Loss: $88. 8. Final Notes The Rectangle pattern breakout on the weekly chart suggests a strong bullish move is underway. The alignment of technical breakout levels with a volume surge supports the reliability of the setup. Traders should monitor volume and price action closely to confirm the breakout’s sustainability. This trade setup offers a favorable risk/reward ratio with clear entry, exit, and stop-loss levels, making it suitable for medium- to long-term trading strategies.
NASDAQ:EXELong
by Mr_Chartist_
CenterPoint Energy Inc. Based on Rectangle Pattern 1. Pattern Analysis - Pattern: Rectangle Pattern - Timeframe: 3 Years - Description: CenterPoint Energy has been trading in a well-defined Rectangle pattern with horizontal resistance at $31.50 and support at $24.00. This extended consolidation phase reflects a balance between buyers and sellers. The stock has recently approached the upper resistance, indicating the possibility of a breakout, which could signify the start of a new bullish trend. 2. Volume Analysis - During the Rectangle Formation: - Volume remained relatively muted during the consolidation, a common characteristic of Rectangle patterns as uncertainty dominates the market. - Current Volume Trends: - Recent sessions show a rise in volume as the price approaches the resistance level. This increase in volume suggests accumulating interest among buyers in anticipation of a breakout. 3. Price Action Analysis - Resistance Levels: - $31.50 acts as a strong horizontal resistance. A decisive breakout above this level, accompanied by strong volume, would confirm a bullish breakout. - Support Levels: - $24.00 serves as the base of the Rectangle pattern and is a critical long-term support level. - Intermediate Support: $28.00, based on prior price action, may act as a pullback zone if the breakout occurs. - Candlestick Behavior: - The recent candlestick at the resistance zone is bullish with a strong close, suggesting upward momentum. However, confirmation is needed with a breakout candle and increased volume. 4. Validation of Bullish Signal - A confirmed breakout above $31.50, validated by significant volume, would signal the start of a bullish trend. This would mark an end to the prolonged consolidation and indicate a shift in market sentiment in favor of buyers. 5. Target Setting - Target Projection: - The height of the Rectangle pattern is $31.50 - $24.00 = $7.50. - Adding this height to the breakout point gives a target of $31.50 + $7.50 = $39.00. - Incremental Targets: - Target 1: $35.00 (+11%) – A short-term psychological and technical level. - Target 2: $39.00 (+23%) – Full pattern projection. 6. Entry and Stop Loss - Entry Strategy: - Primary Entry: Above $31.50, following confirmation of the breakout with sustained volume. - Alternative Entry: On a pullback near $28.00, provided the breakout holds. - Stop Loss: - Place a stop loss at $28.00, below the breakout zone, to safeguard against a failed breakout. 7. Trade Setup Summary - Entry Levels: - Above $31.50 on breakout confirmation. - Near $28.00 on a pullback after breakout confirmation. - Targets: - Target 1: $35.00 (+11%). - Target 2: $39.00 (+23%). - Stop Loss: $28.00. 8. Final Notes The Rectangle pattern breakout on the weekly chart presents a significant bullish opportunity. The alignment of technical levels and rising volume supports the setup's reliability. The stock's proximity to resistance requires close monitoring, and traders should await confirmation through a breakout candle with strong volume. This trade offers a favorable risk/reward ratio with a well-defined entry, stop loss, and target levels, making it suitable for swing and positional trading strategies.
NYSE:CNPLong
by Mr_Chartist_
Modulex Construction Technologies Ltd. Based on Rectangle Patter 1. Pattern Analysis - Rectangle Pattern: - Timeframe: 5 Years - Description: The stock has formed a rectangle pattern, with a well-defined resistance at ₹24 and support at ₹8. This long-term consolidation suggests significant accumulation and potential for a substantial breakout. - The breakout above ₹24 signals a shift in sentiment, with the potential to transition into a strong bullish phase. 2. Volume Analysis - Volume Behavior: - Volume remained subdued during the consolidation phase, characteristic of accumulation within a rectangle pattern. - A surge in volume accompanying the breakout above ₹24 confirms strong buying interest and validates the breakout. 3. Price Action Analysis - Resistance Levels: - ₹24: The breakout level and key resistance. - ₹30–₹35: Immediate upside target zone based on the rectangle pattern projection. - Support Levels: - ₹18–₹20: Likely pullback or retest area post-breakout. - ₹8: The lower boundary of the rectangle and a critical long-term support level. - Candlestick Behavior: - The breakout is marked by a strong bullish candlestick with a close near its high, indicating strong momentum. - Higher highs and higher lows in recent sessions confirm the bullish trend. 4. Validation of Bullish Signal - The breakout above ₹24 is supported by significant volume, affirming the credibility of the move. - The long 5-year consolidation adds robustness to the breakout, as longer patterns tend to yield stronger trends. 5. Target Setting - Rectangle Pattern Target: - Height of the rectangle = ₹24 - ₹8 = ₹16. - Target = ₹24 + ₹16 = ₹40. - Incremental Targets: - Target 1: ₹30 (+25% from ₹24). - Target 2: ₹40 (+66% from ₹24). 6. Entry and Stop Loss - Entry Levels: - Primary Entry: Above ₹24 after confirmation of the breakout. - Pullback Entry: Near ₹18–₹20 if the stock retests the breakout level. - Stop Loss: - Place a stop loss at ₹18, below the retest zone. 7. Trade Setup Summary - Entry Levels: - Above ₹24 for breakout traders. - Near ₹18–₹20 for pullback traders. - Targets: - Target 1: ₹30 (+25%). - Target 2: ₹40 (+66%). - Stop Loss: ₹18. 8. Final Notes Modulex Construction Technologies Ltd. has confirmed a breakout from a long-term rectangle pattern, with a strong surge in volume supporting the move. This breakout indicates a shift in sentiment, making the stock attractive for momentum and swing traders. Monitoring the retest zone around ₹18–₹20 is recommended for optimal entry.
BSE:MODULEXLong
by Mr_Chartist_
Kiri Industries Ltd. Based on Rectangle Pattern Breakout1. Pattern Analysis - Rectangle Pattern: - Timeframe: 8 Years - Description: The stock exhibited a prolonged consolidation within a rectangle pattern, with a well-defined resistance at ₹640 and support at ₹240. This extended period of consolidation reflects equilibrium between buyers and sellers over a long duration, indicating a potential for a significant move once the breakout occurs. - The breakout above ₹640 signals a strong bullish trend, breaking the resistance level after years of indecision. 2. Volume Analysis - Volume Behavior: - During the consolidation phase, volume remained muted, reflecting a lack of strong interest from participants. - A sharp spike in volume during the breakout above ₹640 confirms the validity of the breakout, indicating substantial buying interest and participation from institutional investors or larger market participants. 3. Price Action Analysis - Resistance Levels: - ₹640: The breakout level, now acting as a strong support. - ₹800 (Target 1): The intermediate target based on the initial bullish momentum. - Support Levels: - ₹500–₹520: Key area to watch if a retracement occurs. - ₹400–₹450: Long-term support if the breakout fails. - Candlestick Behavior: - The breakout candlestick is strong and bullish, closing near the highs with significant volume, which reinforces the upward move's strength. 4. Validation of Bullish Signal - The breakout is supported by heavy volume, confirming genuine buying interest rather than a false breakout. - The 8-year consolidation phase adds to the breakout's significance, as longer consolidation phases tend to result in more substantial price movements when the breakout occurs. 5. Target Setting - Rectangle Pattern Target: - Height of the rectangle = ₹640 - ₹240 = ₹400. - Target = ₹640 + ₹400 = ₹1,040. - Incremental Targets: - Target 1: ₹800 (+25%). - Target 2: ₹1,040 (+62%). 6. Entry and Stop Loss - Entry Levels: - Primary Entry: Above ₹640 after breakout confirmation. - Pullback Entry: Near ₹500–₹520 if the stock retraces to retest the breakout level. - Stop Loss: - Place a stop loss at ₹500, just below the breakout level and a key support zone. 7. Trade Setup Summary - Entry Levels: - Above ₹640 for momentum traders or near ₹500–₹520 for swing traders. - Targets: - Target 1: ₹800 (+25%). - Target 2: ₹1,040 (+62%). - Stop Loss: ₹500. 8. Final Notes The breakout of Kiri Industries Ltd. from an 8-year rectangle pattern marks the beginning of a significant bullish phase. The breakout is well-supported by volume, indicating strong market participation. A pullback to the ₹500–₹520 zone would offer an attractive entry for long-term investors. Sustaining above ₹640 will be crucial for the uptrend to remain intact.
NSE:KIRIINDUSLong
by Mr_Chartist_
Maruti Interior Products Ltd. [SME] Based on Rectangle Pattern B 1. Pattern Analysis - Rectangle Pattern: - Timeframe: 2.5 Years - Description: The stock was trading within a well-defined rectangle pattern, bounded by ₹70 (support) and ₹130 (resistance). This prolonged consolidation indicated indecision in the market, with neither bulls nor bears gaining dominance. The breakout above ₹130 marks the conclusion of this range-bound phase and signals the beginning of a potential upward trend. 2. Volume Analysis - Volume Behavior: - During the consolidation phase, volume remained relatively subdued, reflecting a lack of strong conviction from market participants. - The breakout above ₹130 was accompanied by a significant surge in volume, confirming the participation of buyers and validating the breakout. 3. Price Action Analysis - Resistance Levels: - ₹130: The breakout level and previous upper boundary of the rectangle. - Support Levels: - ₹100: Psychological support and a potential pullback level if the stock retraces. - ₹70: Long-term support level, the lower boundary of the rectangle. - Candlestick Behavior: - The breakout candlestick is large and bullish, indicating strong buyer momentum and a clear breakout from the consolidation zone. 4. Validation of Bullish Signal - The breakout above ₹130 is supported by high volume, a critical factor for validating the breakout. This indicates strong buying interest and reduces the likelihood of a false breakout. - The rectangle's long duration (2.5 years) adds weight to the breakout's significance, as longer patterns often lead to more substantial price movements. 5. Target Setting - Rectangle Pattern Target: - Height of the rectangle = ₹130 - ₹70 = ₹60. - Target = ₹130 + ₹60 = ₹190. - Incremental Targets: - Target 1: ₹160 (+23%). - Target 2: ₹190 (+46%). 6. Entry and Stop Loss - Entry Levels: - Primary Entry: Above ₹130 after the breakout confirmation. - Pullback Entry: Near ₹100–₹110 if the stock retraces to test the breakout level. - Stop Loss: - Place a stop loss at ₹100, below the breakout zone and above the mid-range level. 7. Trade Setup Summary - Entry Levels: - Above ₹130 for momentum traders or near ₹100–₹110 on a pullback for swing traders. - Targets: - Target 1: ₹160 (+23%). - Target 2: ₹190 (+46%). - Stop Loss: ₹100. 8. Final Notes The breakout of Maruti Interior Products Ltd. from a 2.5-year rectangle pattern is a strong bullish signal, supported by significant volume. The stock presents a favorable risk/reward ratio for traders. A pullback to ₹100–₹110 would offer a better entry point for long-term investors. For the uptrend to remain intact, the price must sustain above ₹130.
BSE:SPITZELong
by Mr_Chartist_
Asian paints Funda and 2021 to 2024 distribution TGT-below1600technically from 2021 to 2024 asian paints has seen distribution i think by now smart money has already exited Asian Paints last all quaters has profits around 1100-1200 cr This quater 694 cr which is very massive dip in profits current p/e 52 sector p/e 47 i think asian paints is now no longer market leader so considering these profits constant for next three quaters also then keeping P/e also constant at 50 stock fair price would be 1600 where eps is taken as 32 (Trailing Twelve months) if pe also falls asian paints fair valuation comes around 900-1200 rupees Thats a lot of gap fii hold 15% others hold 8% public around 18% i think asian paints facing severe competition from berger paints grasim indigo paints sirca paints mrf (also has paints ) and many other local players Disclaimer- Just my view and opinion trade at your own risk not an investment advice these are only for educational purposes
NSE:ASIANPAINTShort
by techno_funda_guy
2
MUHURAT TRADING 2k24 - Stocks to Add in Portfolio Happy Diwali Traders !! Here's Diwali Muhurat trading picks for 2024 NSE:SARLAPOLY Sarla Performance Fibers Ltd. engages in the manufacture and distribution of synthetic yarn. The firm also offers wind power generation. It operates through the Yarn and Generation of Wind Power segments. The company was founded on November 23, 1993 and is headquartered in Mumbai, India. Technical View:- On monthly chart it has given a strong breakout on good volume and completed a retest, CMP @94 looks Good to enter for a follow up Move Stop level should be below -50 Target levels are - 150,220,350+ NSE:GODREJAGRO Godrej Agrovet Ltd. engages in the manufacturing and marketing of animal feeds. It operates through the business segments: Animal Feed, Crop Protection, Vegetable Oil, Dairy and Other Business. The Other Business segment includes, seed business, energy generation through windmill, real estate, poultry and cattle breeding businesses. The company was founded in 1992 and is headquartered in Mumbai, India. Technical View:- The monthly chart breakout is good and now forming a Retest Of the zone, you can take a Few quantities on muhurat day but more quantities should only be added on the confirmation of retest only. CMP is 712.80 But for confirmation, we need a weekly candle close above 730 Zone. StopLoss level is 480 Targets are 950,1150,1500+ Note:- Always Use proper Position sizing rules before entering in the trade. Keep Learning, Happy Trading, Enjoy Festival.
NSE:GODREJAGROLong
by SANJAYPATIDAR_
Horizontal Breakout in ANANADRATHI NSE:ANANDRATHI #ANAND RATHI WEALTH LTD (1D Chart) Trend: The stock is in an uptrend. View: Bullish Structure: The chart shows a potential upward move, as it is forming a strong horizontal resistance zone and a breakout of 4300+ will give us a good momentum move and once it sustain above the level on day closing basis We can carry it for swing also Entry: 4,300+ Don't enter in spike wait for 5 min candle close. Risk: previous swing low level marked on chart Stoploss Level: 3,987 (Red Line) Targets: 4,521 INR, 4,766(Blue Lines) The Industry outlook is also bullish as in last week the most of stock from this stock broking industry have given breakout and good follow up moves now lets see for #ANANADRATHI Use Proper Position sizing and always follow stop, make sure you study the chart. Keep learning Happy trading.
NSE:ANANDRATHILong
by SANJAYPATIDAR_
ICIBANK: Swing: 1D 16-Oct'24ICIBANK: Swing: 1D 16-Oct'24 ICICI Bank is trading in a channel (marked) for the last several months and is in a uptrend. ADX is 21 (>20). The ADX slope is -ve but seems like the slop is reducing and will turn positive in the coming days. The stock hit the bottom of the channel on 11-Oct24 with a red candle and then on 14-Oct'24 bounced back with green candle. Ideally the close of the 14-Oct'24 candle should have been our buy price but on 14-Oct'24 the stock was trading below 9 SMA On 15-Oct'24 too the stock continued its trend towards the upper end of the channel and closed above 9 SMA. Will initiate trade on y'days close Entry / Target / Exit ATR = 24.25 (15-Oct'24) Entering long @ 15-Oct'24 close 1255.5 Stop loss = 1 ATR below channel (needs to be monitored as the trade progresses) Target = Close to the top of the channel (needs to be monitored as the trade progresses) Exit criteria = Hits StopLoss || Reaches Target || Price goes below 9 EMA Risk:Reward = Unknown since the target and stop loss are yet to be defined. However, it looks like the it would be a 1:1.67 kind of a trade.
NSE:ICICIBANKLong
by ramanarvind
HCLTECH: Swing: 1D 14-Oct'24HCLTECH: Swing: 1D 14-Oct'24 Stock has been in an uptrend since around 27-Jun'24 Starting 02-Sep'24 the uptrend has paused and the stock has been trading in a range. Marked on charts. ADX ~ 17 also confirms range bound trade The stock broke the trend on 11-Oct'24 with volumes greater than 50 SMA. The stock has taken support at 9 day SMA. It also crossed over it just 2 days ago. All +ves Entering long @ 11-Oct'24 close 1839.65 Target = Trading range height + resistance = 102.85 + 1824.35 ~ 1920 Stop Loss = 1 ATR below the resistance = 1824.35 - 39.65 = 1784.70 Exit criteria = Hits StopLoss || Reaches Target || Price goes below 9 EMA Risk:Reward = 1.46:1
NSE:HCLTECHLong
by ramanarvind
1
INFY: Consolidation near ATHThe stock is consolidating neat ATH where as overall IT sector is on the up-move. This stock is just gathering all power to break and sustain it's ATH. Till now there is no closing above the consolidation but once it is there, this stock has all potential to move up to 2500 levels. DISC: The publication idea is just a technical analysis and should not be considered a buy or sell recommendation. Please consult your financial advisor before taking any trade.
Editors' picks
NSE:INFYLong
by trade_opportunities
1
Stock Opportunity: Reliance Consolidation BreakoutBack in December 2023, Reliance gave a major breakout after a 2-year consolidation period and has since rallied 23%. Currently, the stock is trading near its previous breakout level, from which it reversed three times in the past, signaling a potential opportunity for further upside. However, investors should be cautious as the stock is trading below its 200 EMA on the daily timeframe. While the fundamentals remain strong, it's essential to keep an eye on technical levels and manage risk accordingly. Stay informed and trade smart! 📊⚠️
NSE:RELIANCELong
by TechnoTrader10