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Bull Flag Pattern Breakout and Retest seen in Dixon TechnologiesHello Traders, i have brought another analysis on a pattern breakout which called (Bull Flag Pattern). Well i have marked and written most of the things on chart, but still i am gonna to teach you here guy's about this pattern so if you see this type of Bull flag pattern next time, So at least you guy's will be able to trade. So Let's start. Q:- What is Flag Pattern and How to Use this Flag Patterns when you see Breakouts in it? Rahul Replies: - A bull flag is a continuation pattern that occurs as a brief pause in the trend following a strong price move higher. The bull flag chart pattern looks like a downward sloping channel/rectangle denoted by two parallel trendlines against the preceding trend. During this period of consolidation, volume should dry up through its formation and resolve to push higher on the breakout. The actual price formation of the bull flag resembles that of a flag on a pole hence its namesake. These three elements are integral for the bullish flag to occur:- The flagpole:- The asset’s price must trade higher in a series of the higher highs and higher lows. Flag:- A consolidation must take place between two parallel trend lines; A breakout:- The consolidation can’t take forever. A breakout to the upside activates the pattern, while a break of the supporting line invalidates the formation. Guy's now i will tell how to use this Bull Flag Pattern if you see breakouts in it? Buy when prices breakout above the consolidation pattern on high volume. Place stop loss order below bottom of consolidation pattern or if you have short term view on particular stock which has given successfully breakout then you place below of breakout candle and ride the trade. Guy's according to the study we have two types of Profits targets 1st one is, if you have short term view then you should go at least length of flag pattern and 2nd one is if you have long term view kind of investment purpose then you should go length of Flag Pole. The main thing to look for in this pattern is volume. Volume confirms major moves and the likely hood that a breakout will be successful. In Dixon Technologies we have seen huge volume, which says this is a genuine breakout. So guy's this was the process of Bull Flag Pattern. So if you spot this bull flag pattern in any stock or index you can go longer according to the setup i have told you. In our chart we have got double breakout, 1st breakout of flag pattern and 2nd we have seen for resistance zone which i have marked on chart. I hope you guy's have understand now, how to trade bull flag pattern after breakout. So now let's focus about company background. Dixon Technologies (India) Limited is the largest* home grown design-focused and solutions company engaged in manufacturing products in the consumer durables, lighting and mobile phones/smart phones markets in India. Market Cap ₹ 28,218 Cr. Current Price ₹ 4,738 High / Low ₹ 4,968 / 2,553 Stock P/E 102 Book Value ₹ 216 Dividend Yield 0.04 % ROCE 25.8 % ROE 22.4 % Face Value ₹ 2.00 Debt ₹ 200 Cr. EPS ₹ 46.8 PEG Ratio 3.08 Promoter holding 34.0 % Intrinsic Value ₹ 1,549 Pledged percentage 1.13 % EVEBITDA 50.6 PROS Company has reduced debt. Company has delivered good profit growth of 33.2% CAGR over last 5 years Company's median sales growth is 15.7% of last 10 years CONS Stock is trading at 22.0 times its book value Important levels for DIXON TECHNOLOGIES:- Buy in between 4750-4679 Range. Targets we can see 5697/6493+ (Long term Targets will be 9704+) Keep Stop loss at 4023 (Long term Stop loss will be 2450) Price is above 200 EMA We have seen Proper Breakout of Bull Flag Pattern in weekly timeframe. with Good Volume Price is sustaining above breakout and above resistance levels and it has given pull back to retest the levels MACD and RSI has given bullish crossover (I have not placed RSI here as i want chart neat and clean but i have analysed already) Disclaimer:- Please always do your own analysis or consult with your financial advisor before taking any kind of trades. Dear traders, If you like my work then do not forget to hit like and follow me, and guy's let me know what do you think about this idea in comment box, i would be love to reply all of you guy's. Thankyou.
NSE:DIXONLong
by TraderRahulPal
4
Short-Term Trading Opportunity Alert: Reliance in FocusHello Traders! I’ve got my sights set on Reliance for a short-term trading opportunity. Before you dive in, here’s what you need to know: Analysis: On the daily and four-hour time frames, we’ve got an intriguing pullback opportunity that could lead to some upward movement. Caution: Keep in mind, the overall direction of this stock is bearish, so tread carefully. Trading Opportunity: If you’re keen to seize this chance, consider a long position from the indicated levels. Derivative Traders: For those in the derivatives market, keep an eye on 2200 or 2300 CE options for November expiry. Risk Management: Always set stop-loss orders and be prepared for fluctuations in the market. Takeaway: This isn’t an investment opportunity but a short-term trading play. If you’re comfortable with short-term moves, this might be your playground. Your Strategy: What’s your take on Reliance? Planning to hop on this ride or staying on the sidelines? Share your thoughts below! Stay Informed: Follow for updates on this trade opportunity and more. Happy trading!
NSE:RELIANCELong
by AlphaTradingStation
Triangle Pattern Breakout and Pull back pattern Seen in DMARTHello Traders, i have brought another analysis on a pattern breakout which called (Triangle Pattern Breakout and Pull back pattern). Well i have marked and written most of the things on chart, but still i am gonna to teach you here guy's about this pattern so if you see this next time, at least you guy's will be able to trade. So Let's start:- Q:- What Is the Triangle Continuation Pattern? Rahul:- The Triangle is a continuation pattern using the concepts of support and resistance and price breakouts. Generally, when prices make significant moves, they go through a period of resting. Usually with a Triangle pattern, the price consolidation period consists of higher lows and lower lows, forming the shape of a “triangle”. Q:- What Does the Triangle Continuation Pattern Look Like? Rahul:- Guy's check above the Nifty chart, i have rectified Triangle pattern. Q:-How to Interpret the Triangle Continuation Pattern? Rahul:- When the support and resistance lines begin converging, price can burst out of the consolidation area and it is expected that the price action will continue trending in the direction that prices have been moving previously. Q:- Is Triangle Continuation Breakout Pattern is a Buy Signal? Rahul:- Yes it gives signal to buy when the resistance line is penetrated to the upside. The signal is generally expected to be stronger if prices have been in an uptrend prior to the upside breakout. I hope guy's you have learned now about this Bullish Triangle pattern. Let's Focus on about company:- Avenue Supermarts is primarily engaged in the business of organized retail and operates supermarkets under the brand name of D-Mart. Market Cap ₹ 2,46,882 Cr. Current Price ₹ 3,796 High / Low ₹ 4,602 / 3,292 Stock P/E 103 Book Value ₹ 248 Dividend Yield 0.00 % ROCE 20.1 % ROE 16.0 % Face Value ₹ 10.0 Debt ₹ 643 Cr. EPS ₹ 36.9 PEG Ratio 4.21 Promoter holding 74.6 % Intrinsic Value ₹ 958 Pledged percentage 0.00 % EVEBITDA 64.7 PROS Company is almost debt free. Company has delivered good profit growth of 24.5% CAGR over last 5 years Company's median sales growth is 33.1% of last 10 years CONS Stock is trading at 15.3 times its book value Though the company is reporting repeated profits, it is not paying out dividend Company has a low return on equity of 12.6% over last 3 years. Disclaimer:- Please always do your own analysis or consult with your financial advisor before taking any kind of trades. Dear traders, If you like my work then do not forget to hit like and follow me, and guy's let me know what do you think about this idea in comment box, i would be love to reply all of you guy's. Thankyou.
NSE:DMARTLong
by TraderRahulPal
4
Ascending Triangle Breakout seen in BHEL | Target 104+Hi guy's, i hope you all will be good, i have brought an another stock which has given a Ascending Triangle Pattern Breakout on chart. This idea definitely is going to a learning content as i am gonna to explain in very brief about Ascending Triangle Pattern. So let's start, What is Ascending Triangle Pattern? An Ascending Triangle is a Classical Chart pattern that is used in Technical Analysis to indicate a continuation of a trend. It is created by a horizontal resistance line that is drawn along the swing highs, and a rising up trendline that is drawn along the swing lows as shown in the Chart Above. The breakout in an ascending triangle can occur to the upside or downside. Ascending triangles are often called continuation patterns since the price will typically breakout in the same direction as the trend that was in place just prior to the triangle forming. A trader enters the trade on the long side, if the horizontal line is broken out on the upside. The stop-loss in this case would be the lower trendline. The target would be the widest part of the triangle. If a breakout happens on the downside of the ascending trendline, a short entry can be taken and a stop-loss can be put above the horizontal line. Again the target would be the widest part of the ascending triangle. Like any support/resistance or trendline breakout/breakdown, volume plays a very important part in confirming the strength of an ascending triangle breakout/breakdown. The volume should be low and below average as the ascending triangle is nearing completion and when the breakout or breakdown happens, the volume should be high, indicating that big money is participating in the move. An ascending triangle can be high reward to risk trade as the stop-loss is small (because of the narrow width of the triangle at the time of completion), but it is also prone to false breakouts, hence one can minimize the chances of a false breakout by following rules similar to the ones applicable on trendline and support/resistance breakouts: Ensure that the number of touches on the trendline or resistance are high (minimum two touches are required) Ensure that the volume going into the pattern is low and the volume on the breakout is high. So guy's i think now have definitely understood about Ascending Triangle Pattern Breakout. So if you see this type of pattern on chart, then go for long with proper stop loss. Levels i already have marked on chart. Please see chart for entry, exit and stop loss. Disclaimer:- Please always do your own analysis or consult with your financial advisor before taking any kind of trades. Dear traders, If you like my work then do not forget to hit like and follow me, and guy's let me know what do you think about this idea in comment box, i would be love to reply all of you guy's. Thankyou.
NSE:BHELLong
by TraderRahulPal
2